The Nigerian Employers ‘Consultative Association (NECA) has challenged the state government to raise workers’ salaries outside the minimum minimum wage of 70,000 at this time, insisting that the sharp increase in federal income makes the state cannot be maintained to continue to refrain while citizens wrestle with surge.
Speaking at Channels Television’s The Morning Brief on Tuesday, Director General of Neca, Adewale Smatt-Loyinde, emphasized that the surge in recent allocation to the federation account had effectively deleted the reasons for the country not to review upward wages.
“So, there is no state that really has a reason in the context of the current reality to remain in ₦ 70,000, especially with people who struggle at gasoline prices. While many states still do a lot of things with CNG bus, we think there is still much to do,” he said.
The Smatt-Loyinde highlights the urgent needs to overcome food and housing security, warning that ₦ 70,000 in its current value is not enough to support the average household.
“Many still need to be done in the context of food security and place of residence. Once you face it, the conversation will not be completely about the minimum wages because the quantum of ₦ 70,000 will be able to buy enough for the average household.
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According to him, prioritizing the welfare of workers is not only moral responsibility but also the main driver of productivity and economic stability.
“Although we are not directly involved in its core, the real dynamics of the state, the socio-economic challenges they have, are also important to state that workers, both in the public or private sector, are very important economic drivers of any state and very important driving even from the private sector.
“And whatever will increase productivity will increase motivation, especially in the context of the reforms that we are doing. You know, if you are hungry, or if you don’t really consist of, you are hungry, you have a residence problem, you have transportation problems, you will hardly be productive at work,” said Smatt-Loyerinde.
He further reminded the government that their civil service must be considered a “machine” that sustains governance.
“So, if you see it from that perspective, you realize that it is important for you to overcome the problem concerning the machine.
“And that is the perception of the private sector because workers in the private sector are quite important for productivity, important for the growth of the private sector, and that is the perception we have, that workers are important, so let us treat them because ILO says that workers are not commodities,” he added.
Neca’s position came because more countries moved to review their minimum wages. Following the signing of the Tinubu Ball President for the National Minimum Wage Law in July 2024, which raised wages from ₦ 30,000 to ₦ 70,000, several states have exceeded the benchmarks.
On August 27, the Governor of Harapan Uzodimma from the IMO state approved a new minimum wage of ₦ 104,000 for Civil Servants, while the Ebonyi state followed a day later by adjusting up to ₦ 90,000.