Inside Nigeria

Minimum Wage: Why FG, Labour Agreement Not Binding on States -Govs

The agreement reached between the Federal Government and the organised labour on the consequential adjustment of the new minimum wage is not binding on state governments.

This is the position of the Nigeria Governors Forum, NGF.

The position was made known on Monday by its chairman, Dr. Kayode Fayemi, shortly after the meeting of the governors held in Abuja.

The Federal Government and the organised labour reached an agreement last week over the consequential adjustment regarding the national minimum wage.

The agreement averted a national strike by the Nigerian workers.

The Federal Executive Council, chaired by Vice President Yemi Osinbajo, soon approved the agreement and gave a deadline for the implementation of the document.

The adjustment, it was directed, should be sent to the state and local governments as an advisory document and guidance for their National Joint Public Service status in the different states of the federation.

But speaking with journalists over the outcome of the NGF meeting on Monday, Fayemi said the consequential adjustment approved by FEC was not binding on the state.

According to him, the different states would determine their cases based on their peculiar situations.

His words:  “The forum as the representative body of the states keenly followed what happened in the negotiations that led to that template.

“As far as we are concerned, the best the forum can do is to stick with what has been agreed with the states. States are part of the tripartite negotiations.

“States agreed to that N30,000 minimum wage increase. States also know that there will be consequential adjustment but that will be determined by what happened on the state-by-state basis because there are different number of workers and different issues at the state level.

“Every state has its own trade union joint negotiating committee and they will undertake this discussion with their state governments.

“The day after this agreement was reached with labour, it was on record that I was on a national television and made the position of the governors clear.

“That for us this was a national minimum wage increase, not a general minimum wage review.

“Yes, that may necessitate consequential increment, we have no doubt about that but that is a matter for the states to discuss with their workers.’’

 

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