Joe Ajaero, president of the Nigeria Labour Congress (NLC), believes state governors can afford to pay the proposed N615,000 minimum salary if they set their priorities correctly.
Ajaero gave an interview to Channels Television on Thursday.
Recently, organised labour declared that the new minimum wage would be set at N615,000.
The suggestion comes amid continuing minimum wage discussions between the federal and state governments, on one side, and organised labour, on the other.
In 2019, former President Muhammadu Buhari’s administration set the national minimum salary of N30,000.
When the new minimum wage was announced at the time, some states delayed forever implementing the increase.
When asked if organised labour’s suggestion of N615,000 is reasonable, Ajaero stated that it is the “most realistic” considering the country’s soaring inflation.
According to Ajaero, organised labour took into account factors such as transportation, housing, and nutrition when calculating the figure.
Ajaero said:
“If you are talking about being realistic, the N615,000 demand is the most realistic. Being realistic is not about slave wage.”
“However, N30,000 is big money if inflation is brought down, and at a single digit.
“Look at the indices that create inflation. If you check them, you can talk about being realistic. All other factors in the country are going high and wages remain constant.”
When asked if states can afford the N615,000 proposal, Ajaero stated that it is about state priorities more than the ability to pay.
“I think we need to understand the issues of ability to pay and not getting the priority right,” he added.
“Most of the states that have shown willingness to pay the current minimum wage are not among those getting the highest revenue.
“During the time of Muhammadu Buhari, some states were declared not having enough money to pay and he released funds for them to pay.
“Those states still refused to pay. It is not the question of either the quantum of money that they have or not, it is what they decide to do with such money.
“If they get their priorities right, then a lot can happen.”
Organised labour has also threatened to embark on a strike if a new minimum wage is not announced before May 31, 2024.