Friday, 04 October 2019 06:00

FG will need to retrench workers to pay minimum wage – Minister

Rate this item
(0 votes)

Minister of Labour and Employment, Mr Chris Ngige, announced on Thursday that federal government would have to lay off workers to be able to meet a wage bill of N580 billion needed to meet labour’s demand on the new wage.

Ngige told labour leaders in Abuja that the sum was what would be needed by government to pay the consequential adjustments as demanded by labour.

The minister’s announcement is the latest in the increasing drama over payment of the new wage.

A Bill for the New Minimum Wage was signed into law by President Muhammadu Buhari on April 18.

Ngige was speaking when the leadership of United Labour Congress (ULC), paid him a courtesy visit in his office.

Government and labour have been locked in an endless tussle over modalities for the payment of the new wage, long expected by workers.

Ngige said that federal government was avoiding a situation where it would have to lay off workers, noting that throwing workers into unemployment would add to their burden.

The minister pleaded with labour to accept the consequential adjustment from levels 7 to 17, adding that government had only three months left to implement the new wage.

He stated that government would not promise labour what it could not pay, noting that no worker deserved to be owed salary.

Ngige disclosed that federal government had so far paid arrears of N500 billion to workers, including Academic Staff Union of Universities.

He restated that implementation of the new wage had since commenced for workers on grade level 1 to 6, adding that the development had helped those on the lower cadre in the civil service to move up.

It would be recalled that government had told labour unions that it could only pay 9.5 per cent salary raise for employees on grade levels 07 to 14 and five per cent for those on grade levels 15 to17.

But labour is demanding 30 per cent raise for officers on grade levels 07 to 14 and 25 per cent for those on grade levels 15-17.

Public sector workers in Nigeria receive some of the lowest pay cheques in the world, although political office holders receive fat salaries, analysts said.

President of UCL, Mr Joe Ajaero, appealed for payment of the new wage, stressing that the private sector should also be compelled to pay the N30,000 minimum wage.

He said there was need to review obsolete laws not in tune with present realities, noting that a situation where some private sector employers paid their employees N10,000 and N15,000 was unacceptable.

 

NAN

January 16, 2025

USSD debt: NCC approves disconnection of FCMB, Zenith, 7 other banks

The Nigerian Communications Commission (NCC) has authorized Mobile Network Operators (MNOs) – MTN, Airtel, Globacom,…
January 11, 2025

Ohanaeze Ndigbo gets new President-General

John Azuta-Mbata, a former senator, has been elected as the new president-general of Ohanaeze Ndigbo,…
January 15, 2025

Essential skills needed to make money online in 2025

Melissa Houston Due to technological advancements and global digitization, there are growing opportunities to make…
January 04, 2025

Shy man cuts off 4 fingers instead of telling boss he wanted to quit his…

A 32-year-old Indian man admitted to cutting off four fingers on his left hand to…
January 14, 2025

Boko Haram’s strategy created 60,000 child fighters, military chief says

Chief of Defence Staff (CDS), Christopher Musa, has disclosed that over 60,000 children are among…
January 16, 2025

Here’s the latest as Israel-Hamas war enters Day 468

Israel, Hamas ceasefire accord followed by airstrikes on Gaza, residents say Israel intensified strikes on…
December 25, 2024

Stem cell therapy to correct heart failure in children could 'transform lives'

Renowned visionary English physician William Harvey wrote in 1651 about how our blood contains all…
January 08, 2025

NFF appoints new Super Eagles head coach

The Nigeria Football Federation (NFF) has appointed Éric Sékou Chelle as the new Head Coach…

NEWSSCROLL TEAM: 'Sina Kawonise: Publisher/Editor-in-Chief; Prof Wale Are Olaitan: Editorial Consultant; Femi Kawonise: Head, Production & Administration; Afolabi Ajibola: IT Manager;
Contact Us: [email protected] Tel/WhatsApp: +234 811 395 4049

Copyright © 2015 - 2025 NewsScroll. All rights reserved.