In the event that inflation and other economic indicators deteriorate, Joe Ajaero, president of the National Labour Congress (NLC), argues that the federal government ought to consider N1 million as a monthly minimum salary.
This was revealed by Ajaero in an interview he gave to Arise Television on Sunday.
As the president of the National Labor Congress (NLC) put it, “the new minimum wage must reflect the country’s economic conditions.” He went on to say that people will continue to demand a higher minimum salary so long as the dollar remains strong relative to the naira.
The rising cost of food and other necessities, as well as inflation, have rendered the original N200,000 minimum salary plan untenable, he said again.
The National Labor Council (NLC) and the Trade Union Congress (TUC) have issued a strike notice, and he added that on Monday, representatives from organized labor will meet with federal officials to discuss possible alternatives.
If inflation keeps eroding the purchasing power of the naira, this sum of one million Naira can become significant. Similarly, societal events determine the demand for labor.
The currency rate was around N900 when we were considering N200,000, as you will recall. The current rate of exchange is around N1,400, and it could be higher.
We have consistently stated that our demand will be determined by the cost of living index, and those factors are having an equal impact on both the demand and the cost of living.
A bag of rice will cost you around N60,000 to N70,000, as you’ll agree. Food is becoming more difficult to obtain. Does this mean that even for a week, the minimum wage won’t cover transportation costs?
“We need to think about all these things. He went on to say that this will decide how seriously the federal government takes these talks.
Organized labor notified the country of a 14-day strike last week, as previously reported by MISMOB
But the government of President Bola Ahmed Tinubu had pleaded with workers not to go on strike because of the economy.