Re: Buhari’s pay rise

This is a follow up to your previous week’s piece on Slave salaries and related issues.  The pay crisis facing employees in both public and private sectors is systemic; you leave it low, it is overwhelmed by our free rising inflation. Whenever the pay is raised, it is rapidly diminished or cancelled by our uncontrolled […]

This is a follow up to your previous week’s piece on Slave salaries and related issues.  The pay crisis facing employees in both public and private sectors is systemic; you leave it low, it is overwhelmed by our free rising inflation. Whenever the pay is raised, it is rapidly diminished or cancelled by our uncontrolled hyperinflation.  

To me, as a non-economic expert, the delicate balancing act is how to pay the workers the so-called ‘living wage’ while maintaining prices of essential services within reasonable limits. Also some form of welfarism which subsidises basic needs is imperative.  

Another dimension to the issue is the ability of the national economy and its revenue bases to grow consistently to afford and sustain these pay rises. This is a country where several state governments pretend to be paying even the paltry minimum wage of N30,000 either due to inability or unwillingness to pay. To resolve the workers’ wage crisis in a nutshell therefore, there is the need for a combination of responsive and responsible leadership, a sustainably growing economy and a robust inflation control mechanism among others.  

Garba Isa resides in Abuja