NLC and misconception of govt/citizen relationship

I had begun to lose confidence in the Nigeria Labour Congress (NLC) since 2012. When a union is founded on a philosophy that rampage and outright economic outrage is the only language of the government without it providing a reasonable alternative to the government position, such union cannot help but become pricey paraphernalia of some […]

I had begun to lose confidence in the Nigeria Labour Congress (NLC) since 2012. When a union is founded on a philosophy that rampage and outright economic outrage is the only language of the government without it providing a reasonable alternative to the government position, such union cannot help but become pricey paraphernalia of some scheming power players.
I am not an economist, but with the little knowledge I have in governance I understand that the state is now on the edge of a precipice and that the government is working assiduously to save the state from economic doldrums.
To have a clearer view of the government’s position, it important to understand the principle of social cost and individual benefits vs social benefit and individual cost.
The government under normal circumstances incurs some social costs, in terms of subsidy and social security scheme, to enhance the welfare and security of the people. The people also suffer individual costs, in term of their taxes that accrue to the government so as to enhance the provision of social benefits.
However, some unforeseen circumstances be it external or internal may arise to threaten the economy of the state. In this case, the government and the citizen will have to adjust to the current economic reality. The government may be forced to withdraw some of its social costs (i.e. subsidy) and the citizens will have to reciprocate by adjusting to the government contingent plans. It is by this government-citizen relationship that order and stability can be maintained in the state.
It is quite understandable the current economic reality of Nigeria. There has been a sharp fall in the global oil price, and Nigeria being an oil-based economy has not really helped matters. Consequently, the government is left with infinitesimal resources to inject into the economy as affirmed by the Accountant General of the Federation; Mr Ahmed Idris. Thus the government feels it can no longer continue to subsidize oil, at least for the time being. This is a simple economic logic that many economic experts have espoused as having a long term economic benefits.
We cannot gain-say the fact that the government subsidizes many other services and products in the state other than the oil. For instance education at the federal level is highly subsidized and it is considerably subsidized at the state level too.
If the NLC is demanding 56,000 naira minimum wage at this dire economic situation, and at the same time is opposing the government’s plans to revive the economy, there are two things involved; it’s either the labour union is confused or it has lost confidence in the government.
If it is because of a lack of trust and confidence in the government, then it is quite understandable the agitations of the NLC and many other oppressed Nigerians as the problem have its historical connection. However, if we want to move from where we are to where we want to be, we cannot afford to judge the present administration by the deficiencies of its predecessors.
Tiamiyu Ismail, [email protected]