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    HomeNewsFederal Government Approves Wage Increase, Labor Unions Consider Suspending Strike

    Federal Government Approves Wage Increase, Labor Unions Consider Suspending Strike

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    By Milcah Tanimu

    In a bid to avert the proposed indefinite nationwide strike declared by organized labor, the Federal Government of Nigeria announced on Sunday that the provisional wage increase, initially announced by President Bola Tinubu for low-income workers over a six-month period, would now apply to all treasury-paid workers.

    The Chief of Staff to the President, Femi Gbajabiamila, made this announcement after a four-hour emergency meeting with leaders of organized labor. This development is expected to lead to the suspension of the planned strike by the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), which was scheduled to commence on Tuesday. The resolutions reached at the meeting will be discussed with state chapters and affiliates on Monday.

    The meeting followed President Tinubu’s Independence Day broadcast, where he approved a provisional wage increase of N25,000 for a specific category of federal workers for the next six months.

    Gbajabiamila, briefing journalists on the meeting’s outcome, clarified, “There was a lot of chatter on Twitter about the issue of low-income workers only falling into the category of the provisional wage increase. And we did communicate with the President, and he quickly agreed that all categories of workers will be given the wage bill. There is nothing like low income, median income, or high income.”

    Gbajabiamila expressed optimism that the labor unions would reconsider their planned strike, stating, “Hopefully, we expect that Labor will call a meeting of their various branches and executive tomorrow to present the agreements that have been reached, and we pray and believe and hope that the strike will be called off on Tuesday.”

    However, it was reported that labor leaders initially rejected President Tinubu’s N25,000 provisional wage increment for low-grade workers. They also insisted that the provisional increase should remain in effect until a new minimum wage is approved and suggested an upward revision to N35,000.

    As a result, the Federal Government subsequently increased the wage award to N35,000. The Minister of Information and National Orientation, Mallam Mohammed Idris, disclosed that a sub-committee would be formed to work out the details of the implementation of government interventions to alleviate the impact of fuel subsidy removal.

    Idris mentioned, “The Federal Government commits to the provision of funds for micro and small-scale enterprises. VAT on diesel will be waived for the next six months. The Federal Government will commence payment of N75,000 to 15 million households at N25,000 per month, for a three-month period from October to December 2023.”

    Representing the Nigeria Labour Congress, NLC President Joe Ajaero stated that the union would present the Federal Government’s offer to its organs for a resolution. The labor unions will consider the government’s proposals and the possibility of suspending the planned strike for further consultations on the implementation of the agreed resolutions.

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