Organised Labour is making efforts to ensure more workers are covered by the upcoming National Minimum Wage, NMW, in its determination to reduce increasing cases of poverty across the country.
The now expired 2019 Minimum Wage Act, provided coverage for employers with seven and more employees,
Under the umbrella of the Nigeria Labour Congress, NLC, and its Trade Union Congress of Nigeria, TUC, a document sighted by Vanguard, noted: "We must try as much as possible to get more Nigerians covered by the minimum wage act by insisting that rather than that which prescribes coverage for workplaces with 7 and more employees, all Nigerian workers wherever they may work, must enjoy this national minimum wage.
The alternative may be to have a graduated national minimum wage that would cover the segment not captured by making theirs about 80 per cent of the agreed minimum wage. This may be better than leaving them out completely though the first option is preferable.
"It is time to insist that within the life span of the wage Act as agreed; it must be allowed to adjust upward according to the Central Bank of Nigeria, CBN, targeted rate of inflation and indeed, national productivity. This assures that real wages remain relatively constant over the period unlike what is now prevalent. This is based on the fact that most of the time; we calculate the minimum threshold anchored on indices from past experiences but future occurrences like increasing inflation which impacts CPI, CLI and others, are not factored into our demands.
"As average national income goes up, it is important that wage floor is raised by an agreed percentage of the increase to avoid increasing the inequality gap and have a more equitable and just national distribution of wealth. This ensures that workers have a fair proportion of the nation's wealth which they created.
"It is important for us to ensure that the negotiated outcome i.e. the set minimum wage is realistic and within the capacity of the social partners to pay. This is part of the sustainability principle of wage setting and we must find ways to avoid the pitfalls of the last review.
Despite the plethora of factors that may be used in justifying our demand for a new National Minimum Wage such as the various macro-economic indicators; inflationary rate, Exchange rate positions etc."
Exploitation of informal sector workers
According to NLC and TUC, "In Nigeria, amidst towering skyscrapers and winding alleyways, the informal economy thrives. Women dominate this vibrant ecosystem, constituting 75 per cent of its workforce.
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Despite their resilience, they face legal recognition issues and resource constraints. Men also play a significant role, comprising 61 per cent of the workforce, contributing to economic activity.
However, the informal economy operates on the fringes of legality, leaving workers vulnerable to exploitation.
"Harassment and exploitation plague this workforce, yet they persevere. Government actions often exacerbate their plight, focusing on revenue generation rather than addressing basic needs.
Addressing the informal economy is vital for inclusive growth. Policies must formalize enterprises, granting legal recognition and access to services. Gender-specific interventions are crucial to combat challenges faced by women. Empowering this workforce will unleash economic potential, fostering a more equitable future. We urge all levels of government to immediately address over-taxation on informal workers. The drive for revenue should not burden those already exploited."
