The President of the National Labour Congress (NLC), Joe Ajaero, has explained the rationale behind advocating for a new monthly minimum wage of N1 million in an interview on Arise Television.
Ajaero emphasized that economic conditions necessitate a wage adjustment, particularly considering the depreciation of the naira against the dollar.
He expressed that the previously proposed N200,000 minimum wage is no longer viable due to escalating food prices and inflationary pressures.
Ajaero revealed that organized labor is scheduled to meet with the Federal Government to address concerns raised by the NLC and Trade Union Congress (TUC) regarding a potential strike.
Ajaero said, “This N1 million may be relevant if the value of the Naira continues to depreciate; if the inflation continues to depreciate. The demand for Labour is equally dependent on what is happening in society.
“You will remember that by the time we contemplated N200,000, the exchange rate was about N900. Today, the exchange rate is about N1,400 or even more.
“Those are the issues that determine the demand, and they are equally affecting the cost of living, and we have always said that our demand will be based on the cost of living index.
“You’ll agree that a bag of rice is about N60,000 to N70,000. Foodstuff is getting out of reach. Now, will we get a minimum wage that is insufficient for transportation, even for one week?
“We have to factor in all these issues. And that will determine the federal government’s commitment to these negotiations,” he said.