Nigerian Manufacturers Back N60,000 Minimum Wage Proposal, Say Labour’s Wage Demands Unrealistic

The Director-General of the Manufacturing Association of Nigeria (MAN), Mr. Segun Ajayi-Kadir, has thrown its weight behind the federal government on the N60,000 minimum wage proposal, which was rejected by the labour unions. 

Ajayi-Kadir, who spoke on a television programme on Saturday, explained that the economic environment has been challenging for both labour and private businesses, making it nearly impossible for them to pay the wage the labour union is demanding.

He said the organised private sector concurred with the federal government that the new minimum wage should be N60,000.

The MAN president explained that the ongoing negotiations between the government and the private sector with labour are not about a living wage, but a minimum wage—the lowest amount that can be paid to any worker in the country.

According to Kador, the economic environment has been challenging for both labour and private businesses.Hide original message

“To start with, this is a challenging time for anyone to negotiate minimum wage. From the perspective of the government, labour, and organised private sector, we operate in an environment where there is general acceptance that the macroeconomics are not right, even though the global economy is experiencing a lot of shakeups and the aftermath of government necessary reforms.

“From the beginning of the negotiations of the minimum wage, it’s evident to the tripartite— that is the government, labour, and organised private sector— that we are going to operate in difficult terrain.

“Incidentally, the organised private sector and government have offered N60,000 as the minimum wage and I think it is very important for us to understand that what we are talking about is the minimum wage.

“That is what some people have called the walk-in wage. That is the amount we will pay the least workers in the country. It is the minimum wage we are negotiating, not a living wage,” Ajayi said.

Speaking further, Ajayi noted that there are massive constraints on the part of both the government and the private sector to fulfill the proposed N419,000 living wage labour request.

Olawale Ajimotokan, Onyebuchi Ezigbo and Wale Igbintade

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