Labour’s Demand N200,000 Minimum Wage After Fuel Price Increase: Shehu Sani Reacts

Patrick OdeyJune 6, 2023

1 minute read

The removal of fuel subsidy by the Federal Government has sparked a heated debate between the government and the labour unions over the national minimum wage.

The Trade Union Congress (TUC) has proposed an increase in the minimum wage from N30,000 to N200,000 as a response to the hike in fuel price from N197 per litre to over N500.

The TUC made this demand during a meeting with the Bola Tinubu-led Federal Government at the Presidential Villa on Monday.

According to a joint statement by its President, Comrade Festus Osifo, and Secretary-General, Comrade Nuhu Abba Toro, the TUC also asked for consequential adjustments to the Cost of Living Allowance (COLA), such as feeding, transport, and housing.

In addition, the union requested a petrol allowance and a tax holiday for workers earning less than N200,000 or 500 USD per month, whether in the government or private sector, with the higher value being applied.

The union further insisted that all state governors must pledge to enforce the new wage before the end of June 2023.

However, former Kaduna Central Senator, Shehu Sani has expressed his doubt over the feasibility of the proposition.

In a tweet via his verified Twitter handle on Monday night, Sani said the proposition of N200,000 as the new minimum wage sounds good but it is unrealistic.

He reminded the TUC that many states are not yet paying the current minimum wage, except the government will print more money.

He wrote: “200k as minimum wage sounds good, but the proponents need to be reminded that many states are not yet paying the 30k. Except if the Government will print more money.”

The federal government had defended the fuel subsidy removal as a necessary step to address the challenges in the petroleum sector and ensure economic recovery.