Despite earlier pleas from the federal government for consideration, organized labour has withdrawn their services in a nationwide strike starting today, demanding a new national minimum wage for workers.
Breakdown of Negotiations
The industrial action follows a series of unsuccessful negotiations between the Nigeria Labour Congress (NLC), the Trade Union Congress of Nigeria (TUC), and federal government representatives. Last week, talks broke down after the government proposed a marginal increase of N3,000, raising the offer from N57,000 to N60,000. This proposal was deemed unsatisfactory by labour representatives, who are insisting on a minimum wage of N494,000 to reflect the rising cost of living.
Mobilization of Labour Unions
Various unions have mobilized their members for the strike. Affiliates such as the National Union of Electricity Employees (NUEE), National Union of Banks Insurance and Financial Institutions Employees (NUBIFIE), Amalgamated Union of Public Corporations, Civil Service Technical and Recreational Services Employees (AUPCTRE), National Union of Civil Engineering, Construction, Furniture and Wood Workers (NUCECFWW), and Medical and Health Workers’ Union of Nigeria (MHWUN) are participating. Other affiliates include the Judiciary Staff Union of Nigeria (JUSUN), Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), Nigeria Union of Railway Workers, Association of Nigeria Aviation Professionals (ANAP), and Nigeria Union of Journalists (NUJ).
Government’s Response
The National Assembly attempted to mediate and avert the strike, but no agreement was reached. The federal government, represented by Attorney General and Minister of Justice Prince Lateef Fagbemi, SAN, described the strike as “premature, ineffectual, and illegal,” noting that the conditions precedent for a legal strike had not been fulfilled. The government urged the unions to continue negotiations.
Sectoral Impact
Several sectors are expected to be significantly impacted by the strike:
- Aviation: Unions have announced the shutdown of airports nationwide. Local airports will close by 00:00hrs on June 3, 2024, with international airports following on June 4, 2024.
- Maritime: The Maritime Workers Union of Nigeria (MWUN) will enforce a total lockdown of seaports starting today.
- Education: The Academic Staff Union of Polytechnics (ASUP) has directed its members to join the strike, disrupting academic schedules nationwide.
- Other Sectors: Banks, oil, insurance, and various government services will also be affected.
Economic and Legal Concerns
Legal expert and business consultant Chyma Anthony warned that the new minimum wage demand could worsen hyperinflation, pushing up the prices of goods and services and negating any benefits from wage increases. Anthony urged the labour unions to focus on reducing energy prices and improving security to boost economic stability.
Presidency’s Caution
The presidency cautioned that the demand for a significant wage increase could have devastating economic consequences. Special Adviser to the President on Media and Publicity Ajuri Ngelale emphasized the potential for job losses, business closures, and unsustainable price increases. He urged the labour unions to consider the broader economic implications of their demands.
Conclusion
As the strike commences, the impact on various sectors and the economy is anticipated to be substantial. While the government and labour unions remain at an impasse, the call for a higher minimum wage continues to highlight the broader challenges facing the Nigerian economy.
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Written By Joe Brens