Employers in the country’s private have said they can’t meet the Nigerian Labour Congress (NLC)’s N500,000 minimum wage demand this year or any time soon in light of Nigeria’s economic problems.
The Nigeria Employers’ Consultative Association (NECA), in a statement by its Director-general, Adewale-Smatt Oyerinde, said the private sector remains committed to the previously proposed N57,000 at the Tripartite Committee meeting on the National Minimum Wage, a proposal which represents a 90 per cent increase in the national minimum wage.
He pointed out that the private sector’s commitment has been consistent despite prevailing economic challenges, including rising interest rates, astronomical logistics costs, increasing energy tariffs, and multiple taxes, levies, and fees.
Oyerinde further said with organised businesses declaring over one trillion naira in combined losses and many shutting down their businesses for different reasons, while others are relocating to other climes, the ability to pay the prevailing N30,000 was already compromised.
He, therefore, said it will be practically impossible to guarantee enterprise sustainability and job security with the current demands of organised labour.
The Director-general, however, affirmed that NECA would continue to support workers’ welfare and job protection, emphasising that these can only be ensured through the survival of enterprises and urged the tripartite committee to prioritise job creation and job security.
