thesicilian:
100k is good for all sides involved.
They also have to make sure that all those greedy state governors make a written commitment to paying the agreed on amount from the end of this June

I doubt if the payment of the new wage will be effected from end of June . July maybe .

0001Lagos:

I doubt if the payment of the new wage will be effected from end of June . July maybe .

It's going to take effect immediately

NinjaMetahuman:
you think obaseki is paying from goodness of his heart or could do it for 2 years straight?

If he could he would have done it 3 years ago not some months to the end of his lousy tenure.

what's the population of civil servants in Edo state when last did they do recruitment in Edo state people just be capping what they don't know.. besides it won't get to 100k na 80k max and those not on govt employment should pray their salary increases cos price of things ll Also increase

100k is still cool

A bag of rice is #85000 as of today

Outgoing corpers are so unlucky, na the new set of corpers go enjoy this federal government money small

thesicilian:

It's going to take effect immediately

It has already accumulated arrears from January . But the payment proper might start from July because after the government and union reach agreement in 5 days time, a bill will be sent to national income and salary commission, then to national Assembly then to the president for final signing into law. And all this process might take about 2 weeks .

0001Lagos:

It has already accumulated arrears from January . But the payment proper might start from July because after the government and union reach agreement in 5 days time, a bill will be sent to national income and salary commission, then to national Assembly then to the president for final signing into law. And all this process might take about 2 weeks .

No need for arguments bro. Wanna bet 10k? June for me, July for you.

AqualinaXYZ:
Tinubu is a thief



Certificate forging frog

What is your biological father?

CyracksMrBlogger:
The moment the president announce minimum wage, cost of things in the market will skyrocket. They will start blaming Tinubu again. A minimum wage that only Federal civil servants will benefit. Make we dey see na

Has cost of things not skyrocketed before minimum wage was even mentioned under Tinubu ? what further damage can be done than the hell we are already experiencing under this wicked administration ?
please allow people to enjoy their minimum wage in peace, if things deteriorate further then they should get another minimum wage. we will continue that way until Tinubu returns the price of things to the way he met it and stops wasting Nigerias money on buying SUVs, feeding and repairing VP office.

thesicilian:

No need for arguments bro. Wanna bet 10k? June for me, July for you.

Ok we shall see how it unfolds

0001Lagos:

Ok we shall see how it unfolds

Is that a deal?

thesicilian:

Is that a deal?

Lol

0001Lagos:

Lol

Lol. I can see you're shying away from committing yourself. Don't worry I'll let you off. Let's see how it goes as you said.

Islie:
•President orders minister to calculate cost, Labour gives one-week ultimatum



https://punchng.com/minimum-wage-talks-labour-considers-n100000-as-tinubu-issues-ultimatum/?amp

These people never really ready, they ought to have included “PRICE CONTROL” in their negotiations but what do I know?🙄

Chinjo2:


Do you know how many people have lost their jobs since Tinubu became president? Do you know how many companies have folded up?
Was it because of salary increment that inflation rose from 28.92 under Buhari to 33.69 in just one year of Tinubu regime?

Ask him for me my brother.
I always hate it when people will be sitting in the comfort of their houses and be speaking only theory.

jrizlybey:
Way to go. But the value of that 100k might have halfed in real sense in the next 6 months from inflation. The rate at which inflation has been biting only God can save us now.

So they should add more money? 🤔

commoditiesnig:
Good but I may doubt N100k

I think both parties will eventually settle on range btw N80,000 - N90,000.


Lol.. Who be "we"? Are you a Federal Civil servant?

I'm suprised "non civil servants" just carry this minimum wage matter on their head like they'll benefit from the salary increase

Labour force of 1.2m is just a small fraction compared to over 30-40m private sector workers and business people across Nigeria.

Yes,they have to carry it on their head..oo.
Some of them will benefit indirectly.
Do you know how many dependants some civil servants have?

Civil servant deserves the best pay after all, most of those legislators are just there collecting jumbo pay without anything to show for in their constituency.

100k is not bad.

Better

Some people are already condemning this act
But sometimes I do wonder if most of us on nairaland even go to school like we do say

If labour fight for 70k FG we all know will be fighting for 40k people condemning the 400k are not wise at all

We need to use our brain when need be and not our head

Blessing to ya all

Coolestguy2023:
No wahala, let us see if every state will be able to pay including the private sector and domestic workers.
There are down sides to this which many ignorant people don't know.
1. Most private companies or even government will downsize which would lead to massive loss of jobs.
2. Those that don't downsize will increase the cost of there products and services rendered.

Last last, inflation will skyrocket and that 100k will just be like 30k in the hand.

Trash ….
The major reason a firm or company downsize is poor or inadequate sales performance or revenue …..
The major reason a company or firm increases the cost of its products n services ( inflation)is high cost of doing business, etc increase in fuel or diesel price n unfavorable exchange rates….
No company or firm doing well will sack its workers cos they’ve been mandated to increase workers salaries , cos if they sack workers who will do the job?
You have to also understand that an increased minimum wage means higher purchasing power n therefore higher sales for firms n businesses….No sensible firm or business will increase its cost of goods n services just because the national minimum wage has been increased , cos the salary increments has no negative effect whatsoever on their good n services, rather it helps improve workers’s purchasing power, which ultimately helps to boost business revenues…

Most private companies n businesses increased their cost of goods n services when fuel subsidy was removed n the naira got floated.This same companies refused to increase the salaries of their workers even though they were making more or balanced revenues to the detriment of their staff…
This National minimum wage is a golden opportunity to mandate them to increase the salaries of their workers…..

Chinjo2:
I know that's where they were heading. If Edo can pay 70k why can't FG pay 100k?
I thank Obaseki for raising the bar.

Hiking the minimum wage is a bandaid solution, though welcome.
The ultimate is to minimize inflation and improve the value of the currency.

CyracksMrBlogger:
The moment the president announce minimum wage, cost of things in the market will skyrocket. They will start blaming Tinubu again. A minimum wage that only Federal civil servants will benefit. Make we dey see na

FG should set up people to go into markets and find out cost of goods. Whoever is overselling goods should be arrested naml.

Light78:
Have guys considered what the price of goods would be?

We are still the people that will complain when things get 4 times the previous price.

I hate this line of thought!
When Tinubu took over power about a year ago,price of cement rose from 4k a bag to 15k, you didn't say anything and we the people didn't die too.

Price of garri moved from #50 a cup to #300,beans from #70 to #400 a cup,rice from #100 to #500 a cup, petrol from #230 to #1000 per liter,small Nokia torch phone from 4k to 30k, ordinary borehole water moved from #10 per gallon to #100 per gallon,etc.
In all these,I didn't hear you lots echoing this type of sentiment.
Nigerians were still enduring and going about their businesses as if nothing has happened in the country.
Is there any price of the mentioned goods there that is not above 300% increament? And was it caused by minimum wage increament?
So,is it the price increament that will come with a paltry 100k envisaged minimum wage that we won't survive?

caracas:

Trash ….
The major reason a firm or company downsize is poor or inadequate sales performance or revenue …..
The major reason a company or firm increases the cost of its products n services is high cost of doing business, etc increase in fuel or diesel price n exchange rates….
No company or firm doing well will sack its workers cos they’ve been mandated to increase workers salaries cos if they sack workers who will do the job?
You have to also understand that an increased minimum wage means higher purchasing power n therefore higher sales for firms n businesses….No sensible firm or business will increase its cost of goods n services just because the national minimum wage has been increased , cos the salary increments has no negative effect whatsoever on their good n services, rather it helps improve workers’s purchasing power, which ultimately helps to boost business revenues…

Hiking of wages can have serious impact on OPEX and hence the bottom line ( for businesses with low profit margin) - leading to increase in cost of production, prices and further inflation. It's a cycle of doom. The ultimate solution is to stabilize the naira, strengthen it and minimize inflation to single digit - a tough call.

Islie:
•President orders minister to calculate cost, Labour gives one-week ultimatum



https://punchng.com/minimum-wage-talks-labour-considers-n100000-as-tinubu-issues-ultimatum/?amp

If this is true, then labour chairman have sold out.

Coolestguy2023:
No wahala, let us see if every state will be able to pay including the private sector and domestic workers.
There are down sides to this which many ignorant people don't know.
1. Most private companies or even government will downsize which would lead to massive loss of jobs.
2. Those that don't downsize will increase the cost of there products and services rendered.

Last last, inflation will skyrocket and that 100k will just be like 30k in the hand.

Inflation have not skyrocketed in most African countries with minimum wage above 100 dollars.
Inflation no skyrocket when your senators and reps goes home with over 30m monthly ( ridiculous and one of the highest in the world for politicians)

Inflation no skyrocket when naira went from 400 to almost 1900 usd. &

Inflation no skyrocket when they bought 100m SUVs for each house of assembly members

Inflation did not skyrocket when they approved over 90b for hajj

Inflation did not skyrocket when yaya bello couldn't pay his state workers but took over 900k dollars and paid sch fees in advance for his children

Inflation did not skyrocket when each house of assembly members get constituency allowance of over 200m for projects in their constituents but end up doing nothing

Inflation didn't skyrocket when government spend billions on wasted and abandoned projects

But inflation will skyrocket when the common man like you wants to get a better living wage still below 100 dollars a month.

You are either a zomb1e or part of the wicked elite that don't want people to leave the lower class because of your classist mentality and belief that there must be poor people for the world to survive

wirinet:

The output is directly related to the purchasing power.
Let me give a typical example. If you produce more goods than the people are able to purchase, your will have excess inventory in your warehouse, now that would not have been a problem if you can export, but then apart from our products not being price and quality competitive on the international market, government policies and corruption make Nigeria very export unfriendly. Now revenue reduces which will lead to closure or reduction of work force, which further reduces purchasing power of the people.
I live in Ikorodu. Ten years ago Ikorodu was a manufacturing base for local, Chinese and Indian. PZ, Dangote, Spintex were major manufacturing companies hiring thousands of people. Today, most of them have left or downsized their operations. Major international companies are fleeing Nigeria in droves and relocating to other African countries. Why? Because Nigeria's purchasing power is about the lowest on the planet.

Like I said it is a chicken and egg situation. It is robbing from Peter to pay Paul.

Let me give you an example to illustrate: You have a farm of 1 acre with 10 workers. Your competitor farms the same 1 acre with 3 workers. The yield and therefore the income from 1 acre is the same. The farmers in farm1 are naturally poorly paid because there are 10 of them doing the job of 3 people in farm 2 for the same output, let us assume 1 acre of land can only produce a fixed amount of maize. Don’t forget the price of the maize for both farms is the same in the market….. a customer is not going to pay the farmer a higher price because he has 10 workers, if anything the price of the products in farm 2 will be cheaper because his costs are lower but for the sake of this example let us assume they both get the same price.


Remember I mentioned GDP earlier? The Output per worker (productivity) in farm 1 is lower than farm 2. If the both sell maize for N100,000, Farm 1 with 10 workers has an output per capita or productivity of N10,000 per worker whereas in farm 2 it is N33,000 per worker.

Therefore it makes sense that a worker in farm 2 is paid N20,000 for his work totaling N60,000 in salaries, let’s say materials cost N30,000 leaving a profit of N10,000 for the farmer. He is happy to earn just 10,00 from that farm because he knows his workers are efficient and do all the work. In contrast farm 2 has the same materials and input costs of N30,000, all he has left to pay the 10 workers is N70,000. Assuming he doesn’t even make a profit, the worker in farm 1 cannot earn more than N7,000. Now the farmer must make a profit otherwise he will shut down the farm. So he takes a lower profit of N5,000, meaning all that is available to pay his workers is N65,000, meaning the income of the farm 1 worker based on his productivity is N6,500. Imagine farm 1 workers saying they want a salary increase to N10,000, what will happen if he agrees? The farm will close down because the output or GDP of the farm cannot sustain that level of income due to their low productivity. It will mean they have costs of N130,000, income of N100,000 and loss for the farmer!!!

That is why I keep emphasizing the importance of our GDP per capita of N150,000, I.e the average output of all Nigerian workers from the lowest to the highest…it cannot sustain a minimum wage above N70k without a drastic increase in productivity. Increasing purchasing power without increasing productivity is just kicking the can down the road. If you increase the purchasing power of the 10 workers in farm 1 and they are still only producing 100,000 worth of maize you are just going to induce inflation because their output is still the same and the prices of the things they buy will go up because those workers have more money but you the farmer will incur debt or go bankrupt and so in the end you will be forced to close down the farm. More money in the hands of workers and same level of goods (output) = inflation.


The solution is either 1) to reduce the number of workers for the same output if that is the only farm you have 2) leave salaries as they are for the same output or 3) find another acre of land and move 5 workers to the new farm in which case you can double their wages because their productivity has doubled.

Bottom line Nigeria has a worker productivity problem not a purchasing power problem. The poor purchasing power is a result of low productivity. Increasing purchasing power for the same level of productivity is a recipe for inflation. But most importantly, just as the farmer cannot increase salaries beyond the income of his farm, you cannot increase salaries in a country beyond the output of your country. Again this is why I keep emphasizing the importance of our GDP per capita, it is the value of the output of the average Nigerian. You can’t give what you don’t have!!!

If 3 workers can produce N100,000 in farm output at another farm, you solve the salary problem of the 10 workers by sacking 5 and creating another farm for the sacked 5. The output increases to N200,000 and you can pay all better wages. The problem is the same workers in farm 1 who want salary increase will down tools at the farm if you suggest it.

Majesty7:


You mean they should downsize? Do you understand that word because you said, "At least abuse of Manpower or Labour will be reduced". Are you not contradicting yourself? All these people

Try to read and understand...

Your opinion cannot be force on people ok..

Private business owners abuses there workers because of stipilus compensation.. and takes all the profits...

Abuse of Labour or Workers should be addressed... Too

Lungs:
oga inflation teacher wetin come be ur point ?

Him point be say no be increase minimum wage cause or go cause this inflation wer we dey see now or go dey see tomorrow say nah bad economic policies of this present administration nah im cause am.

Nah him point be that.
You get am or abi you never still get am?

Ajaero abeg no fall our hand.

We expect you to launch Phase 2 of the EndSars riot if the government does not agree to 200k minimum wage within 48 hours.

casualobserver:


Like I said it is a chicken and egg situation. It is robbing from Peter to pay Paul.

Let me give you an example to illustrate: You have a farm of 1 acre with 10 workers. Your competitor farms the same 1 acre with 3 workers. The yield and therefore the income from 1 acre is the same. The farmers in farm1 are naturally poorly paid because there are 10 of them doing the job of 3 people in farm 2 for the same output, let us assume 1 acre of land can only produce a fixed amount of maize. Don’t forget the price of the maize for both farms is the same in the market….. a customer is not going to pay the farmer a higher price because he has 10 workers, if anything the price of the products in farm 2 will be cheaper because his costs are lower but for the sake of this example let us assume they both get the same price.


Remember I mentioned GDP earlier? The Output per worker (productivity) in farm 1 is lower than farm 2. If the both sell maize for N100,000, Farm 1 with 10 workers has an output per capita or productivity of N10,000 per worker whereas in farm 2 it is N33,000 per worker.

Therefore it makes sense that a worker in farm 2 is paid N20,000 for his work totaling N60,000 in salaries, let’s say materials cost N30,000 leaving a profit of N10,000 for the farmer. He is happy to earn just 10,00 from that farm because he knows his workers are efficient and do all the work. In contrast farm 2 has the same materials and input costs of N30,000, all he has left to pay the 10 workers is N70,000. Assuming he doesn’t even make a profit, the worker in farm 1 cannot earn more than N7,000. Now the farmer must make a profit otherwise he will shut down the farm. So he takes a lower profit of N5,000, meaning all that is available to pay his workers is N65,000, meaning the income of the farm 1 worker based on his productivity is N6,500. Imagine farm 1 workers saying they want a salary increase to N10,000, what will happen if he agrees? The farm will close down because the output or GDP of the farm cannot sustain that level of income due to their low productivity. It will mean they have costs of N130,000, income of N100,000 and loss for the farmer!!!

That is why I keep emphasizing the importance of our GDP per capita of N150,000, it cannot sustain a minimum wage above N70k without a drastic increase in productivity. Increasing purchasing power without increasing productivity is just kicking the can down the road. If you increase the purchasing power of the 10 workers in farm 1 and they are still only producing 100,000 worth of maize you are just going to induce inflation because their output is still the same and the prices of the things they buy will go up because those workers have more money but you the farmer will incur debt or go bankrupt and so in the end you will be forced to close down the farm.


The solution is either 1) to reduce the number of workers for the same output if that is the only farm you have 2) leave salaries as they are for the same output or 3) find another acre of land and move 5 workers to the new farm in which case you can double their wages because their productivity has doubled.

Bottom line Nigeria has a worker productivity problem not a purchasing power problem. The poor purchasing power is a result of low productivity. Increasing purchasing power for the same level of productivity is a recipe for inflation. But most importantly, just as the farmer cannot increase salaries beyond the income of his farm, you cannot increase salaries in a country beyond the output of your country. Again this is why I keep emphasizing the importance of our GDP per capita, it is the value of the output of the average Nigerian. You can’t give what you don’t have!!!

If 3 workers can produce N100,000 in farm output at another farm, you solve the salary problem of the 10 workers by sacking 5 and creating another farm for the sacked 5. The output increases to N200,000 and you can pay all better wages. The problem is the same people who want salary increase will down tools at the farm if you suggest it.

Nice analysis. Let me elucidate further. The average Nigerian civil servants (those gainfully employed) gets to work by 9 am, chats away with his/ her colleagues for at least 1 hour per day, fiddles with his phone while at work for some considerable amount of time, some would find time to negotiate for wares from various sellers, do some work and by 3pm they are rounding up for the day.

Effectively, I am not sure that any Nigerian civil servant puts in more than 3-4 hours of effective work per day. Hence, the low productivity. This extends somewhat to the private sector and the elected officials. This explains why Nigeria is in this mess that we are in. To get ahead of this malaise, we have to find a way to get government officials to cut their excess and unjustifiable renumeration, both official and un-official ones. And we all have to reconsider our contributions to the national purse and do better than we currently do.

bixton:




There's no proof that if they increase wages that there will be inflation other than it's just typical theoretical economic talk.

It is said that the approved UN wage for one who lives above the poverty level should be $2 per day and we all know how much that is in today's exchange. But even at that we can't settle for such because the Naira holds no much value and no significant purchasing power even in the hands of a nursery school pupil.
Why don't our so called leaders ensure the economy is truly working rather than this trial and error approach and artificial inflation we experience.

Behind all the economics is the main topic of justice and fairness, of good and evil. Our leaders are just pure evil and having the citizens beg for livable wage is just the height of evil but that's the foundation of Capitalism.

And until Nigeria adopts a better system, the status quo of begging for dignity will remain.

JOIN MOP CENTRE ON IG, A SOCIALIST POLITICAL ORGANISATION WHERE WE ALL BECOME LEADERS OF LEADERS

Threedoorsdown:


Inflation have not skyrocketed in most African countries with minimum wage above 100 dollars.
Inflation no skyrocket when your senators and reps goes home with over 30m monthly ( ridiculous and one of the highest in the world for politicians)

Inflation no skyrocket when naira went from 400 to almost 1900 usd. &

Inflation no skyrocket when they bought 100m SUVs for each house of assembly members

Inflation did not skyrocket when they approved over 90b for hajj

Inflation did not skyrocket when yaya bello couldn't pay his state workers but took over 900k dollars and paid sch fees in advance for his children

Inflation did not skyrocket when each house of assembly members get constituency allowance of over 200m for projects in their constituents but end up doing nothing

Inflation didn't skyrocket when government spend billions on wasted and abandoned projects

But inflation will skyrocket when the common man like you wants to get a better living wage still below 100 dollars a month.

You are either a zomb1e or part of the wicked elite that don't want people to leave the lower class because of your classist mentality and belief that there must be poor people for the world to survive

Thank you so much!