OPINION: Why the National Assembly Must Lead on Wage Increase. By Abdulmumin Yinka Ajia

Date: 2017-08-05

It is a good development to hear Senator Bukola Saraki's rhetoric on increasing the minimum wage in Nigeria. As an economist who have written about the pitiable state of the working poor in Nigeria and advocated for a wage increase to reflect current inflationary indices, I would like the senator to match his words with action. The idea that the legislature is waiting on the executive in order to raise the minimum wage is alien to both the presidential and the parliamentary democracies that we have adopted. Whether or not we raise the minimum wage in Nigeria falls squarely on the shoulders of the legislature and instead of Nigerian legislators working for themselves, its high time they start working for the millions of Nigerians who are still earning 18,000 Naira minimum wage that doesn't even come regularly. 

In an opinion piece almost two years ago, I made the ethical argument why the minimum wage in Nigeria should be increased to 52,000 Naira and adjusted for inflation every five years. See http://www.ilorin.info/fullnews.php?id=15758.The Nigerian Labour Congress agreed with my proposal and made a 56,000 Naira demand of the federal government. And yet even the best economists will still tell you "ceteris paribus" all things being equal. Ceteris paribus is a Latin phrase that has been embraced by economists for decades and it is premised on the assumption that all other variables except the ones under immediate consideration are held constant. 

Can we honestly say that all other variables have held constant in Nigeria since two years ago when yours truly made the case for a 52, 000 Naira wage increase? Or in the last one year since the NLC made a 56, 000 demand? The truth is that, compared to 2014, when Nigeria's gross national income was at a peak of 2980 USD (see https://data.worldbank.org/indicator/NY.GNP.PCAP.CD?locations=NG), Nigeria's 2016 GNI has fallen to 2450 USD, therefore, policy makers in Nigeria and in particular federal legislators need to look at the underlying factors behind the decrease in GNI and work towards its remedy. 

While I believe that the Nigerian worker deserves an increase in wages to bring his or her income to a living wage, there is a greater need in Nigeria today - and that is the need for the Nigerian government at all levels - to go back to paying workers their wages in a timely manner. This is where the Nigerian National Assembly has been missing over the last two years. As Nigerian public intellectuals, many of us have railed against this clear injustice and yet the National Assembly sat on its butt and did nothing about the major moral crisis of our time. 

Going back to economics, since all things have not held constant over the last few years in Nigerian economic indices, the first order of business is for the National Assembly to look into and put a stop to the practice of irresponsibly owing workers their wages in Nigeria. The National Assembly ought to be reminded that the reason for their existence is to make laws for the safety and wellbeing of Nigerians. This is a friendly reminder in case they have forgotten. 

While the National Assembly embark on a fight to get justice for the Nigerian worker, it can also simultaneously begin to look into Nigerian economic indices critically, combined with the power of the purse, the Nigerian National Assembly can then partner with all relevant stakeholders (Academia, labour unions, all tier of government, the private sector, and the civil society) to come up with a new minimum wage legislation that is couched in the existing reality of the Nigerian state. 

This will be a better route towards getting justice for the Nigerian worker and will not come across as both an abdication of responsibility and an empty political platitude. 

Dr. Abdulmumin Yinka Ajia is a managing partner and lead consultant at Clearwater Research LLC, a business analytics research firm with head office in Fort Wayne, Indiana, USA. The author can be reached at ajia01@clearwaterresearchllc.com

 

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Salihu Jibril Garbi     Rueben Parejo     Mansurat Amuda-Kannike     Aminat Omodara     GGDSS Pakata     Simeon Sayomi     Oko     Mohammed Khadijat Kubura     Modibo Kawu     Titus Suberu-Ajibola     Sulyman Age AbdulKareem     Farouk Salim     Saidu Isa     Alikinla     Abiodun Oyedepo     Adanla-Irese     Dan-Kazeem     Pilgrims Board     Wahab Isa     Tafida Of Kaiama     Moronfoye     YAKOOYO     Aishat Sulu-Gambari     Hajj     Mahmud Ajeigbe     Abdulazeez Uthman     Ishola Balogun Fulani     Rebecca Bake     Usman Yunusa     Adamu B. Yaqubu     Olaitan Buraimoh     Alao Ayotunde     Olatunji Bamgbola     Sidikat Akaje     Nigeria Customs Service     Mary Arinde     Abdulahi Abubakar Bata     Seed Technologies     Emmanuel Olatunji Adesoye     AbdulRauf Keji     Shehu Jimoh     Crystal Corner Shops     Bolakale Saka     Mohammed Tunde-Jimoh     Dogara     Haliru Yahaya     Seun Bolaji     Shururat Olatinwo     Oba Sulaiman Asude     Umar Saro     Ilorin Curfew     Kwara 2023     Mohammed Abdulahi     HYPPADEC     Samuel Olusegun Adedayo     Sunday Popo-Ola     FERMA     Olatunde Oyeyiola     Aminu Adisa Logun     Olabode Towoju     Smart School     Simeon Ajibola     Ajike People Support Centre     Kwara TV     Sheriff Olanrewaju     Umar Adelodun     Dankaka     Turaki     RTEAN     Ilorin Talaka Parapo     Folorunsho Alao     Sheikh Hamzat Yusuf Ariyibi     Talaka Parapo     Lanre Aremu     Oniye     Halimat Yusuf     Ileloke    

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Olaoye B. Felix     Magaji Are     Facemasks     Chartered Institute Of Personnel Management Of Nigeria     Olayinka Olaogun     Akanji     Saadu Gbogbo Iwe     Yoonus Kola Olatinwo     Abdulrahman Onikijipa     Joana Nnazua Kolo     Logun     Lola Olabayo     Yoonus Lawal     Bio Ibrahim     Ilorin West     Universal Basic Education Commission     Iyeru Grammar School     Aishat Mohammed Lawal     April 11     Grillo     Fatai Olodo     Raimi Iyanda     Saadu Yusuf     Maryam Ado Bayero     Bankole Omisore     Rotimi Atere     Shuaibu Yaman Abdullahi     Demola Banu     Tanke     Samuel Olusegun Adedayo     MalHub     John Dara     Kola Olota     AbdulKareem Yusuf Danhawa     Ibrahim Bio     Iponrin     Fatimat Saliu     Femi Ogunsola     Kayode Oyin-Zubair     Apaola     Omu-aran     Abdulmumini Jawondo     Ubandoma Of Ilorin     Abiodun Abdulkareem     Press Release     Ibrahim Issa Jetti     Sunday Otokiti     Iyaloja-General     Ganiyu Taofiq     Abdulrazaq Adebayo     A.G.F Abdulrasaq     Ilorin Innovation Hub     KFA     International Public Sector Accounting Standards     Waziri Yakubu Gobir     Mahmud Ayinla Giwa     UTME     Www.Kwarareports.com     Hassan A. Saliu     Binta Abubakar Mora     Tunde Idiagbon Road     Babajide Ajayi     Buhari     Quareeb     Ministry Of Women Affairs And Social Development     Sobi     Fareedah Dankaka     Saeedat Aliyu     Yemi Osinbajo     Imam Gambari     Dan-Kazeem     Salaudeen Oyewale     Ilorin Talaka Parapo (ITP)     Maigida     Senate President     Moses Adekanye     Afonja Descendants Union