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.

Kuliyan Geri     Ishak Mohammed Sabi     JSSCE     KWATMA     Yaru     Ilorin International Airport     Post Utme     General Hospital, Offa     Tafida Of Kaiama     Code Of Conduct Tribunal     Kulende-UITH     RTEAN     Mohammed Katsina Ahmed     Quranic Recitation Competition     Dar-Al-Handasah Consultants     Facebook     Emir Of Yashikira     Smart School     Ibrahim Jawondo     Umar Adelodun     Abdulkareem Alabi     Suleiman Alege Kuranga     Oasis Muslim Care Foundation     Harafat E. Mukadam     Ayobami Seriki     Kwara Metro Park     Tanke Road     Yusuf Babatunde Abdulwahab     Nupe     Oloruntoyosi Thomas     Sidikat Uthman Ajibola     PharmAccess Foundation     Yusuf Abubakar     Siddiq Adebayo Idowu Salawu     Mike Omotosho     Kayode Oyin-Zubair     Tsaragi     NNPP     Kabir Shagaya     Kwara State Council Of Chiefs     Ibrahim Abikan     Patigi Regatta     QuickWin     April 11     Tosin Saraki     Rachael Obisesan     Oro Grammar School     NIPOGA     Oladimeji Thompson     Olokoba Sulyman     Moses Salami     Fatai Olodo     Just Law Forum     Charles Ibitoye     Local Government     Farouk Salim     Funmilayo Mohammed     Inside Kwara     Democracy Day     Oyedun Juliana Funke     Abdulrauf Aliyu     Javed Khan     Mope Dasuki Belgore     Seun Bolaji     Idowu Aremu     Ilorin Talaka Parapo     Kehinde Boyede     Abdulrasaq Alaro     Odo-Owa     Haruna Tambiri Mohammed     Oba Mogaji Abdulkadir     C2c@kwarastate.gov.ng     Dairo Kunle Paul     Magaji Erubu     Ilorin West/Asa Federal Constituency     SSUCOEN     National Pilot    

Cloud Tag: What's trending

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

Tope Daramola     Aliyu Salihu     07039448763     Lai Mohammed     Mohammed Jimoh Faworaja     Ali Ahmad     SWAN     Olusin Of Ijara Isin     Labaeka     Ilorin Anchor Men And Women     Ayinde Oki     Hamidat Sulyman-Yusuf     Eghe Igbinehi     Bello Taoheed Abubakar     Shuaib Jawondo     Innocent Okoye     Twitter     Ariyo     Hydroelectric Power Producing Areas Development Commission     Durbar Festival     Musa Ayinla Yeketi     Kwara Consultative Forum     Toyin Falola     Admiralty Villa     Osuwa     Mahmud Ajeigbe     Danladi     Wahab Egbewole     Kwara     Lucky Omoluwa     Baaziki Sulaiman     Umar Adelodun     Bankole Omisore     Baboko Primary School     Niguel Gallando Marcias     Atunwa     Rabiu Kwankwaso     Babaloja-General     Law School Scholarship     Ekweremadu     National Pilot     Shuaib Olarongbe     JUSUN     Bola Shagaya     Oro Grammar School Old Students Association     Taofik Abiodun Ahmed     AbdulHamid Adi     Orisa Bridge     Bareke     Public Holiday     Dele Belgore     Sarah Jubril     Bola Olukoju     Femi Agbaje     National Party Of Nigeria     Adeola Abraham     Oke-Ogun     Saka Asiat Ayinke     Road Transport Employers Association Of Nigeria     Abdulrazaq Sanni     Yoonus Lawal     Taofik Mustapha     Www.Kwarareports.com     Femi Ogunsola     Kolade Solagberu     Donatus Ejidike     Omoniyi     Aliyu Olatunji Ajanaku     Timothy Olatunde Fadipe     Modupe Oluwole     Abdulkadir Orire     Alabi Olayemi Abdulrazak     Salake     Saad Omo Iya     Bello Bature     Doyin Agbamu     C2c@kwarastate.gov.ng