Minimum wage is not the problem
Minimum wage is not the problem of the Nigerian worker. Government afford to can pay him N100,000 monthly, but the country has degenerated to a level that even with that amount, he will need prayer to survive the social and economic upheavals Nigeria has created for its citizens. The Nigerian worker has no social insurance. […]
Minimum wage is not the problem of the Nigerian worker. Government afford to can pay him N100,000 monthly, but the country has degenerated to a level that even with that amount, he will need prayer to survive the social and economic upheavals Nigeria has created for its citizens.
The Nigerian worker has no social insurance. He pays for his healthcare, he has no house, no electricity, no public transport, no portable water and no personal security. Above all that, school proprietors, landlords and inflation are working tirelessly to make nonsense of his salary increase.
In China, the minimum wage is $358 (equivalent of N128,000). But that is not what keeps the Chinese worker going; he has free housing, healthcare, education, affordable public transport and constant supply of electricity. China has wiped out hunger, so even with a lesser amount, the Chinese worker will live well because he does not depend on his salary to meet his basic needs. The minimum wage in Germany is 1,557 euro (the equivalent of N650,000). Depending on the salary, income tax in Germany, ranges from 24 per cent to 45 per cent. But the German worker is not bothered about high tax because the government takes care of his children’s education and healthcare, in addition to child support allowances paid to all parents. There is affordable housing and cheap public transport system for all Germans. In addition to that, there is electricity and clean water.
The real problem of the Nigerian worker is the absence of all the above mentioned social support system. He is on his own and he lives in constant fear of losing his job. He is aware that even if he works for 35 years, the retirement age, pension is never reliable. At the age of 60 years when he retires from work he will not even be able to think well about how to start a business.
As I said in many of my posts, the labour leadership missed the point. The Nigeria Labour Congress (NLC) should push the government to address all the problems that make life miserable for Nigerians workers. They should push government to abolish salary disparity among its agencies. They should push government to spend on education so that the Nigerian worker will not spend 90 percent of his earning trying to educate a child. Labour should also push government to make electricity available. With steady supply of electricity many Nigerians can leave salary jobs and set up their own businesses. The government should also consider reducing interest rates and VAT to encourage business start-ups. None of the 18 million millionaires in China is a salary earner, The majority of Chinese middle class make it through production of goods and services. Earning salary leads people into a trap, a vicious circle of poverty and want. People earn more by being creative and productive. Labour should fight for an enabling environment including loans for workers to escape salary entrapment.
The N30,000 minimum wage is absolutely useless. Inflation is already at 40 percent for some food items. Life will only get worse if the fundamental social and economic issues facing workers are not solved.
Abdullahi Kabir100 [email protected]