Minimum Wage: Governors Forum Warns That N60,000 Is Not Sustainable

ABUJA, FCT, NIGERIA -The Nigeria Governors’ Forum (NGF) acknowledges the necessity for a new minimum wage and expresses sympathy towards labor unions advocating for higher wages.

However, the NGF stressed the importance of considering the broader implications of minimum wage negotiations, which include consequential adjustments for all employment levels, including pensioners.

The Forum cautioned all parties involved in these crucial discussions to ensure that any agreements reached are sustainable and realistic, rather than simply signing documents for the sake of agreement.

The NGF emphasized the need for a comprehensive approach to wage adjustments to ensure long-term viability.

All things considered, the NGF holds that the N60,000 minimum wage proposal is not sustainable and can not fly. It will simply mean that many states will spend all their FAAC allocations on just paying salaries with nothing left for development purposes. In fact, a few states will end up borrowing to pay workers every month. We do not think this will be in the collective interest of the country, including workers.

We appeal that all parties involved, especially the labour unions, consider all the socioeconomic variables and settle for an agreement that is sustainable, durable, and fair to all other segments of the society who have legitimate claim to public resources.