A social critic and founder of Stanbic IBTC Bank Plc, Atedo Peterside has said Nigerian government officials’ flamboyant lifestyle was a major obstacle in the minimum wage negotiations between the government and labour unions.
According to him, the government’s “reckless” spending habits have created an unrealistic perception of its financial health.
“The Nigerian minimum wage negotiations were destined to be unnecessarily difficult because the federal government poisoned the well for responsible negotiations by approving an irresponsible N90 billion for legislators and others, creating the false impression that they were awash in cash,” Peterside wrote on X.
The ICIR reported that the 2024 budget contains over N512 billion in frivolities.
The amount is spread across more than 24 ministries, departments and agencies (MDAs) and could be saved through proper oversight by the legislatures.
In November 2023, President Bola Tinubu presented N27.5 trillion to the Joint National Assembly as the proposed budget for the 2024 fiscal year. However, upon scrutiny by the National Assembly, the budget was increased to N28.7 trillion and signed by the President on January 1, 2024.
Nigerians are yet to see the impact the increased numbers in the budget have on their economic life with inflation at 33.69 per cent and food inflation at 40.5 per cent.
Meanwhile, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), embarked on indefinite strike today, Monday, June 3, after their N494,000 minimum wage request was rejected by the federal government, following the May 31 deadline they gave.
At a meeting held on Tuesday, May 28, representatives from the government and organised private sector again proposed doubling the existing minimum wage to N60,000 per month, countering the NLC and TUC’s demand.
Already, the government has again summoned the labour leaders to another emergency meeting over the industrial dispute which has paralysed economic activities.
President of the Trade Union Congress of Nigeria, TUC Comrade Festus Osifo confirmed this to newsmen on Monday.
Osifo said labour leaders comprising the Nigeria Labour Congress and TUC were heading to the Secretary to the Government of the Federation’s (SGF) Office for the meeting.
The outcome of the meeting will determine if the workers will call off the strike.
Harrison Edeh is a journalist with the International Centre for Investigative Reporting, always determined to drive advocacy for good governance through holding public officials and businesses accountable.