Organized Labor has set a two-week ultimatum for state governors to initiate discussions on the N35,000 wage award for their respective workers. This move is in accordance with the Memorandum of Understanding signed by the Federal Government, the Nigeria Labour Congress (NLC), and the Trade Union Congress (TUC).
According to a report made by The Punch on Wednesday, the state chapters of NLC and TUC have delivered this ultimatum to governors, urging them to expedite necessary protocols and implement the wage award as a means to mitigate the impacts of subsidy removal.
President Bola Tinubu, on the other hand, has launched a N1 trillion cash transfer program to support 15 million households in coping with the economic effects of fuel subsidy removal.
Each household will receive N25,000 for three months, costing approximately N1.13 trillion in total. The Minister of Humanitarian Affairs and Poverty Alleviation, Dr. Betta Edu, disclosed that approximately 61 million Nigerians will benefit from this cash transfer.
The national leadership of NLC and TUC reached an agreement with the Federal Government on October 1 to pay N35,000 to federal workers from September, with an expectation for states to extend the same benefit to their employees.
Labor had previously threatened a nationwide strike, which was suspended on the condition that the wage award, cash transfer, and other resolutions would be implemented within 30 days from the date of the MoU signing.
Various state chapters of NLC and TUC are now demanding wage award implementation from their state governments and are hopeful for positive responses.
President Tinubu’s administration has commenced a conditional cash transfer initiative to assist vulnerable households, as part of the MoU with Organized Labor. The Minister of Humanitarian Affairs and Poverty Alleviation emphasized that millions of Nigerians will directly benefit from this cash transfer, aiming to provide essential relief and address poverty challenges.
The World Bank representative also acknowledged the effectiveness of cash transfers in reducing poverty, particularly among vulnerable populations grappling with economic shocks or rising living costs. This approach aims to provide short-term relief and prevent individuals from making critical long-term decisions, such as reducing daily meals or withdrawing children from school.
