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.

Bolaji Nagode     MATTA Girls Foundation     Funmilayo Mohammed     Shola Odetundun     Afetu Of Alabe     Ayodele Kuburat Olaosebikan     Maimunat Oloriegbe     Imodoye Writer’s Enclave     Afolabi-Oshatimehin Adenike Harriet     Obuh     Abdulkadir Remi Hawawu     Kayode Ishola     Biliaminu Aliu     Aminu Adisa Logun     Abdulrahman Abdulrazaq     Michael Ologundea     Saliu Shola Taofeek     Forgo Battery Company Limited     Mansur Alfanla     Tunji Moronfoye     Road Transport Employers Association Of Nigeria     Deji Ajani     IEDPU     QuickWin     Facemasks     REO CAKES     Charles Ibitoye     Ibikunle Ogunleye     Aisha Gobir     V.O. Abioye     Atunwa     Kwara Coalition Of Business And Professional Associations     VADA     Michael Nzekwe     Ibrahim Gambari     Gbenga Awoyale     National Party Of Nigeria     Saidu Yaro Musa     Face Masks     Kannike     Baboko     Ekiti     Kamoru Kadiri     Rotimi Oyedepo     Sardauna Of Ilorin     General Hospital, Ilorin     Ayo Salami     Yahaya A Paniyaro     National Pilot     Kawu Baraje     Saad Omo Iya     Yeketi     Maryam Ado Bayero     Elekoyangan     Alabi Olayemi Abdulrazak     Ibrahim Jawondo     Nigeria Governors\' Forum     Jaiz Bank     Radio Kwara     Kupchi Hosea Maxwell     Islamic Development Bank     Al-Adaby     Young Progressives Party     Kanu Agabi     Madawaki Of Ilorin     Idris Garuba     Abubakar Olusola Saraki     Wahab Isa     Amasa     Babs Iwarere     Haliru Yahaya     Baaziki Sulaiman     Bisi Oyeleke     Kayode Oyin-Zubair     IsDB     Egbewole     Abdulkadir Akanbi-Oke    

Cloud Tag: What's trending

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

Is\'haq Modibbo Kawu     Abdullahi Biffo     Abdulmutalib Shittu     Yahaya Abdulkareem Babaita     Pilgrims Board     Alabi Lawal     Zulkifli Ibraheem     NIRSAL     Oro Grammar School     Kwara Muslim Pilgrims Welfare Board     Share     Kwara Pdp     Mukhtar Shagaya     Alabi Olayemi Abdulrazak     Muhammed Abdullahi     Tope Daramola     All Peoples Party     Raimi Iyanda     Sabitiyu Grillo     Simeon Sule Ajibola     Bukola Saraki     Danhawa     Gobirawa     Kazeem Gbolagade     Ella Supreme Tissue Paper     Lai Gobir     Ahmad Ali     Markaz Arabic And Islamic Training Institute, Agege     Azeez Salawu     Salmon Babatunde Salmon     Jani Ibrahim     Buari Edun     Mohammed Jimoh Faworaja     Kawu     Agboola Babatunde     Rotimi Samuel Olujide     Hikmah AbdulKareem     Women For Change And Development Initiative     Usman Rifun     Abdulganiyu Salahudeen     Daud Adeshola     Federal Neuro-Psychiatric Hospital     Abdulrasheed Lafia     Yahaya Oloriegbe     Minister     Dauda Adeniran Adeshola     Laduba     Ilorin Likeminds Foundation     Ibrahim Taiwo     Olatomiwa Williams     Gani Saadu     Adolescent Girls Initiative For Learning And Empowerment     Olusegun Adeniyi     AbdulRazaq Abubakar Jiddah     Monthly Sanitation Exercise     Mopelola Abdulmaliq-Bashir     Kale Bayero     Agbarere     Doyin Awoyale     Ayobami Seriki     Ajase-Ipo     AbdulHamid Adi     Agboola Abdulraheem     Nigerian Correctional Service     IYA ALFA NLA     Baboko Primary School     Segun Adeniyi     Ajike People Support Centre     Okedare     Mahee Abdulkadir     Council Of The Wise     Nurudeen Muhammed     Ghali Muhammed     Lasiele Alabi Yahaya     Okasanmi Ajayi     Volunteers Of Ilorin Community And The Emirate     Rotimi Oyedepo