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NLC insists State Governors have sufficient funds to pay new minimum wage

The Nigeria Labour Congress (NLC) has asserted that state governors have adequate resources to meet the new national minimum wage requirements. According to the NLC, the allocation disbursed to states through the Federation Account Allocation Committee (FAAC) is ample to cover the increased wage bill.

This response comes in light of recent remarks by state governors expressing reluctance to implement the proposed N60,000 minimum wage put forward by the Federal Government. The governors argued that such a wage level is excessively high and unsustainable, as conveyed in a statement issued by the Director of Media and Public Affairs for the Nigeria Governors Forum, Halimah Ahmed.

Benson Upah, the Head of NLC Public Affairs, criticized the governors’ position, accusing them of acting in bad faith. He highlighted the substantial increase in FAAC allocations, from N700 billion to N1.2 trillion, as evidence of the ample financial resources available to state governments.

Upah emphasised that state governors should prioritize the welfare of workers and consider reducing the high cost of governance and minimizing corruption to ensure the affordability of a reasonable national minimum wage.

His statement reads partly: “We do believe the governors have acted in bad faith. It is unheard of for such a statement to be issued to the world in the middle of an ongoing negotiation. It is certainly in bad taste.

“As for the veracity of their claim, nothing can be further from the truth as FAAC allocations have since moved from N700 billion to N1.2 trillion making the governments extremely rich at the expense of the people.

“All that the governors need to do to be able to pay a reasonable national minimum wage (not even the N60,000) is cut down on the high cost of governance, minimise corruption as well as prioritise the welfare of workers.”

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