Senator Orji Uzor Kalu is proposing a new minimum salary of 90,000 naira in an attempt to end the continuing disagreement between the Federal Government and organised labour over the minimum wage.
Speaking at the Senate session on Tuesday, Kalu stressed that the suggested sum corresponds with market purchasing power parity and represents a 40% increase over the current minimum salary of 30,000 naira.
The proposal is made in the midst of the Nigerian Labour Congress’s (NLC) and the Trade Union Congress of Nigeria’s (TUC) nationwide strike, which was called for in order to push for an increase in the minimum wage.
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In order to get to a consensus on the suggested amount of 90,000 naira, Kalu pleaded with the Senate to act as a mediator between the Federal Government and the labour unions.
Senator Kalu issued a warning about the possible risks associated with the industrial action, citing the Labour unions’ total shutdown of Nigeria’s power grid as a “daring move” that would take up to four days to resolve.
Noting the impact on the economy and the difficulties the private sector may encounter in adopting the suggested wage, he demanded an expedient resolution.
Kalu stated, “60 thousand might sound very good let the entire Senate see how we can persuade both Labour and the Federal government to agree between N75, 000 to N90, 000 naira.
“If you go by 90,000 naira , it means in the last five years in which this law (30,000naira) was made , it means if you divide 200 percent of N90,000 by 5 it will give you 40 and the food inflation, the purchasing parity and other things you have in the market its also around 32 to 33% so Labour should be very happy with what We are doing.
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“Let us send a Senate delegation to the Federal Government and the Labour Party with the proposal of 90,000 naira and all the parties should agree to that.
“Pulling down the National Grid Mr. President is not an easy job and it might take up to three to four days for it to come up , shutting down and starting a National grid is a problem.
“The Federal Government and the Labour should be cautioned to come to an agreement. Though it’s going to be difficult for the private sector to pay, they must manage,” he added.
Senator Ali Ndume concurred and proposed that the Senate work with the executive branch to draft a bill that would guarantee the successful implementation of any minimum wage accord.
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When word of the strike’s suspension spread, the Senate Committee on Labour and Employment, presided over by Senator Diket Plang, was getting ready to discuss the move to end it.
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