Former Edo State governor Senator Adams Oshiomhole has charged the federal government, states, and employers to pay more than the N70,000 national minimum wage, noting that the whole idea of the minimum wage was not to restrict workers’ salaries but to protect the lowest income earners.
Oshiomole also said minimum wage is grossly misunderstood in Nigeria, and that is why it is depreciating and does not match the current economic realities.
While commending some state governments, who have already approved minimum wage higher than N70,000, Oshiomhole said things are pretty expensive in Abuja, and the federal government should be able to pay workers higher than N70,000 even as other serious employers must also pay higher.
He explained that when President Shehu Shagari introduced the minimum wage, it was N125, or about $160. However, today, with the national minimum wage set at N70,000, or about $42, things have not really improved for Nigerian workers.
The former labour leader stated these at the 2024 distinguished personality lecture for Executive Intelligence Management Course (EIMC) 17 of the National Institute For Security Studies (NISS), an educative arm of the Department of State Services (DSS), in Abuja yesterday.
He said, “The whole idea of minimum wage is not to determine income or workers but to protect lower income earners. Serious employers of labour should pay much more than the minimum wage.
I commend some state governments who have already approved above N70,000. I also believe the federal government should pay more, especially for workers in Abuja because things are pretty expensive in Abuja.”
However, he noted that though the minimum wage should be reviewed frequently as inflation increases, caution should be exercised as the frequent increment of salaries could affect the economy.
Speaking on the current status of the Naira, Oshiomhole said the naira is grossly undervalued in relation to its purchasing power, noting that even though the exchange rates are always cause for concern, what Naira can buy in Nigeria, the equivalent may not buy the same in the USA.
The DG DSS, Adeola Ajayi, said the distinguished personality Oshiomhole was chosen for the lecture because he was well equipped, having been a labour leader, governor, and now senator.
Meanwhile, the commandant of the NISS, Joseph Obama, while giving his welcome address, explained that the EIMC 17 comprises 91 participants from different African countries, including participants from DSS, JAMB, Customs, EFCC, ICPC, and NPF.
Participants were also drawn from Chad, Rwanda, and The Gambia, among other countries.
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