Opinion
Minimum Wage And The Revenue Debate (I1)
The N18,000.00 minimum wage and revenue debate has assumed many colours and shapes following the delay in implementing the national wage law which has become binding on the public sector and private organisations employing 50 or more workers.
The state governors led by Rt. Hon. Chibuike Rotimi Amaechi of Rivers State have continued to argue that with the present revenue allocation formula in which the federal government takes 52.68 percent of the centrally-collected revenues in the distributable pool account leaving the states and local government councils with only 26.72 per cent and 20.60 per cent respectively, they would not be able to pay the N18,000.00 minimum wage and meet the critical developmental challenges of their states.
Thus they are asking for a review of the revenue allocation formula that would give the federal government, states, and local government councils 35 per cent, 42 per cent, and 23 per cent of the centrally-collected revenues respectively. They are also asking for the removal of fuel subsidy which reportedly consumes over N693 billion annually from the federation account.
On the other hand, the Nigeria Labour Congress argues that the states have enough resources to implement the Minimum Wage Act which was signed by President Goodluck Jonathan in March. To the labour union, if the state governments cut down on their huge and excessive expenses on governance, they would have enough money to pay the wage and fulfil their socio-economic obligations to the people. The union posits that payment of the minimum wage is not debatable considering that it was agreed by the government, the organised labour, and the other stakeholders. In fact the labour union has urged the state governments to pay the minimum wage which implementation date was April 1 without further delay in order not to accumulate too much arrears.
From media reports, some well-meaning Nigerians have also lent their voices to the debate. They include Professor Solomon Akinboye, Head of Department, Political Science, University of Lagos, Prof. Itse Sagay (SAN), and Alhaji Hamman Tukur, a former chairman of the Revenue Mobilisation, Allocation, and Fiscal Commission (RMAFC). According to Prof. Akinboye, the problem with Nigeria is that of inability to manage its resources very well. He feels that the revenue allocated to the states from the federal distributable pool account should be increased to enable them (states) meet their financial needs.
Prof. Sagay, on his part, supports the labour union that the state governors must pay the N18,000 minimum wage. To him: “They (State governors) have no choice in this matter. It is high time Nigerians, particularly the political elite began to distinguish between when they have discretion, and when they are compelled. On this matter, they are compelled to pay. It is a legal issue and they must adhere to it.”
In his own contribution to the debate, Alhaji Tukur argues that in view of the money that comes into the Federation Account, the states can pay the N18,000.00 minimum wage without removing the subsidy on fuel. In his words: “The money they (governors) get from the Federation Account alone is enough to pay workers. It is unfortunate that the burden is being passed on to the ordinary man.
“There is enough resources in the country for all. The problem is that the federal and state laws clash. The federal law cannot impose on the state what to do with the money they get from the federation account. Also, the state cannot impose on the local government what to do with their money. The laws are there and the fact remains that the governors can pay the new wage”.
In the final analysis, the minimum wage and revenue debate shows the pervasive nature of the social, economic, and political problems of the country. Though compared with such old federations as the United States of America (USA), Australia, and Canada, Nigeria is still a fledgling federal nation, it is old enough to have settled its basic socio-economic and political framework.
Since 1946 when the problem of revenue allocation began in Nigeria following a change in the country’s constitution from unitary to a federal one several ad hoc commissions or committees on revenue allocation have been established. They include the Philipson Commission (1946), Hicks – Philipson Commission (1951), Chick Commission (1953), and Raisman Commission (1958). Others are Binns Commission (1964), Dina Interim Revenue Allocation Review Committee (1968), Aboyade Technical Committee on Revenue Allocation (1977), and the Okigbo Commission that was appointed in 1979 to review the existing system of revenue allocation with respect to such factors as national interest, derivation, population, even development and equitable distribution, and equality of state.
Nigeria has also had a long history of grants by which the national government remitted to the federating units funds outside their statutory allocations to assist them perform their social and economic functions. But because of the uncertainty surrounding these grants, the irregularity in their disbursements, the vagaries of their timing, and the frequency and sometimes the sudden change in the federal government’s priorities, the practice of grants has not been used as an effective system of rescuing the states from the problems of resource constraints in respect of meeting their constitutionally determined obligations.
Another problem associated with the minimum wage and revenue allocation quagmire is the over reliance of the states on the distributable pool. As B.O. Nwabueze noted in his book Federalism in Nigeria Under the Presidential Constitution, “Federally-collected revenue is the mainstay of the finances of the state governments, accounting for a little over 90 per cent of their total revenue. Upon this revenue, therefore depends the ability of the state governments to maintain their services; to pay their staff, pay for essential supplies and execute their capital projects. Their financial viabilities and credibility as autonomous government units hang upon it. As far as they are concerned, the motivation for its sharing is understandably one of self-survival.
For them, the sharing is almost like a matter of life and death, exciting their deepest concern and their strongest emotions. Hence the intensity of the question concerning it.”
So until Nigeria runs a true federal system in which the national and state governments stand to each other in a relation of meaningful independence and balanced division of powers and resources sufficient to support the structure, issues such as payment of minimum wage and revenue sharing will continue to generate national debate, political pressures and even inter-regional struggles for the national wealth.
As things stand now, the state governments, local government councils and other public and private organisations with 50 or more workers on their payroll must rise to the challenge of paying the N18,000.00 minimum wage for the law of the land must be respected.
Opinion
Ken Saro-Wiwa’s Unfinished Struggle (I)
On November 10, 1995, the Nigerian military government of General Sani Abacha executed Ken Saro-Wiwa and eight other Ogoni leaders after a deeply controversial trial. Their deaths marked one of the darkest chapters in Nigeria’s history. At a time when fear silenced citizens and sycophancy flourished around military power, Saro-Wiwa chose to confront tyranny. Many Nigerians retreated into silence, while others praised the regime to secure favour. He knew the risks, yet refused to abandon a people whose land had been devastated by oil exploration and whose lives remained trapped in poverty. His courage arose from the conviction that public responsibility sometimes demands resistance to authority. Saro-Wiwa understood that speaking against a military government could lead to imprisonment or death.
Nonetheless, he believed the suffering of the Ogoni people demanded a courageous response. While oil was extracted from their land, they were left with polluted rivers, damaged farmland, declining livelihoods and an environment hostile to human survival. Fishing grounds and sources of livelihood were threatened, while the people struggled to secure basic amenities. The wealth beneath their soil brought neither adequate development nor a fair share of national resources. For him, silence in the face of injustice would have amounted to complicity. Through the Movement for the Survival of the Ogoni People (MOSOP), he organised a peaceful campaign that took the Ogoni question to the international community. MOSOP gave ordinary people an organised platform through which to express their grievances and insist on recognition.
The Ogoni Bill of Rights, presented to the Federal Government in 1990, demanded political autonomy, economic justice, environmental protection and control over the people’s resources. The campaign exposed the human and ecological costs of oil operations, particularly those associated with Shell, and challenged the apparent alliance between corporate interests and an unresponsive State. The Ogoni struggle became a defining expression of minority rights and environmental justice in Nigeria and Africa. Saro-Wiwa’s writings and mobilisation drew attention to communities treated as expendable because of their limited population and political influence. He argued that numerical strength should never determine a people’s value or rights.
A minority community does not become less deserving of justice because it cannot command electoral numbers or political power. In Nigeria, every ethnic group deserves dignity, protection and a fair opportunity to benefit from the commonwealth. Rather than respond to peaceful agitation with dialogue, the Abacha regime resorted to repression. Ogoni leaders were harassed, detained and killed; others fled into exile. The crisis intensified after four Ogoni chiefs were killed in May 1994. Saro-Wiwa and other MOSOP leaders were arrested, tried by a special tribunal and executed despite international appeals for clemency and serious concerns about the trial’s fairness. The executions drew worldwide condemnation and intensified scrutiny of Nigeria’s human-rights record and oil companies in the Niger Delta.
They demonstrated the danger of using State institutions to suppress peaceful demands. The proceedings remain a reminder of the need for judicial independence and due process. Saro-Wiwa’s courage rested on the conviction that justice must be pursued despite the cost. His method combined non-violent resistance, public education and grassroots organisation. His struggle recalled the civil-rights campaign of Martin Luther King Jr. and the power of peaceful mobilisation against injustice. Saro-Wiwa linked environmental degradation to political exclusion, economic exploitation and the denial of democratic rights. Oil-producing communities, he insisted, should not remain zones from which wealth is removed to develop other parts of the country.
Their people must benefit through roads, schools, healthcare, jobs and clean water. Resource extraction carries a duty to protect host communities. His argument extended to the structure of the Nigerian federation. He challenged a revenue-allocation system that made oil-producing communities bear the environmental and social costs of extraction without commensurate benefits. Like advocates of fiscal federalism, he believed resources should be managed and shared equitably. He envisaged a society in which no community would be disadvantaged by its size, ethnicity, political affiliation, culture or religion. His vision was a country bound together by justice and equal citizenship. Saro-Wiwa was also a gifted writer, dramatist and public intellectual.
Through books, essays, plays and television, he documented Nigerian society’s contradictions and challenged abuses of power. His popular television series, Basi and Company, demonstrated his creative range, while his leadership of the Association of Nigerian Authors encouraged writers to engage national questions. He believed literature should not be detached from society’s struggles. His pen exposed environmental injustice, political repression and the dangers of silencing courageous voices. He used storytelling, satire and drama to shape public consciousness and expose social contradictions. His literary achievements gave his activism wider reach and made the Ogoni experience part of national conversation. His commitment to the Ogoni people extended beyond the oil question.
During the Civil War, he worked to protect his vulnerable community. He urged younger generations to reject subservience and complacency and pursue change through lawful, peaceful means. Citizens, he believed, must not surrender their responsibility to challenge wrong doing. An injury to one community threatens the rights and security of all. The return to democratic government in 1999 and the establishment of the Niger Delta Development Commission, the Ministry of Niger Delta Affairs and the Hydrocarbon Pollution Remediation Project (HYPREP) are among developments that have kept the region’s demands in public view. Saro-Wiwa did not create these institutions, but his movement helped expose the urgency of intervention and sustain pressure for redress.
His death made it harder to ignore the Niger Delta’s environmental and political grievances. Yet, interventionist institutions do not prove that the original demands have been met. Their effectiveness depends on competent leadership, transparent spending, measurable outcomes and community participation. Yet, thirty-one years after his execution, the central concerns of the Ogoni struggle remain unresolved. The HYPREP-led clean-up has offered hope, but many residents await meaningful improvements. Questions persist about the programme’s pace, quality and transparency, and whether its benefits reach ordinary people. A clean-up should be judged not by ceremonies or contracts, but by restored land and waterways, safe drinking water, improved livelihoods and better public health.
It must include long-term monitoring to ensure treated sites remain safe. Residents deserve information about contamination, remediation methods and completion timelines. Reports that water projects in Gwara and Ebubu Communities, in Khana and Eleme Local Government Areas respectively, failed weeks after commissioning have raised further concerns. If confirmed, the failures would indicate weaknesses in supervision, procurement and quality control.
To be continued in our next edition.
Taneh Beemene
Opinion
Reforming NYSC For Practical National Service
The National Youth Service Corps (NYSC) was established in 1973, after the Nigerian Civil War, to promote national unity, reconciliation and integration. By deploying graduates beyond their States of origin, its founders hoped to encourage understanding among Nigeria’s diverse peoples and help rebuild a divided country. However, the difficulties confronting corps members and their families now demand a comprehensive review. For many graduates, national service has become a period of uncertainty, financial pressure and exposure to risks. Parents who have spent years financing their children’s education must still find money for transportation, camp necessities, accommodation, feeding and other expenses. The monthly allowance may provide some relief, but often cannot meet the cost of living, especially where the place of primary assignment offers no accommodation or support.
Security is another serious concern. Corps members may be posted to communities affected by kidnapping, communal violence, insurgency or other threats. Government cannot eliminate every danger, but it must assess locations, provide reliable security information and avoid deployments where safety cannot reasonably be assured. National service should promote patriotism, not expose graduates to preventable harm. There is also the problem of securing meaningful places of primary assignment. A graduate trained in engineering may perform duties unrelated to engineering; a journalist may spend the year in an office with no opportunity to practise journalism. Graduates in agriculture, health, education and other specialised fields may likewise be assigned routine tasks that contribute little or nothing to their professional growth. Some depend on personal contacts or incur expenses to obtain suitable placements.
A year is significant for a young graduate entering a competitive labour market. National service should not be merely a compulsory waiting period before the search for employment begins. It should help bridge the gap between academic learning and practical work. The time has therefore come to review the structure of NYSC, not necessarily abolish it. I propose that the one-year programme should become vocational and professionally oriented. Graduates should, as far as practicable, be posted to institutions where they can gain supervised experience in their fields of study. Teachers should serve in schools; health graduates in suitable health facilities; engineers in technical organisations and public works departments; agricultural graduates in farms and extension services; and communication graduates in media and public information establishments.
NYSC should partner with ministries, state and local governments, private companies, professional bodies, universities, hospitals, schools and credible organisations to identify genuine training opportunities. Each member should have defined duties, a supervisor and clear learning objectives. At the end of the year, each should receive a record of duties performed and competencies acquired. The reform must also address remuneration and welfare. Corps members should receive fair pay that reflects the demands of their placements, while host organisations should provide reasonable support where possible. Government must establish transparent funding arrangements so that the new system does not become another burden imposed on employers or parents. Transport or accommodation assistance should be considered for difficult postings.
Graduates seeking jobs after service would have more than a discharge certificate: they would possess practical experience, workplace discipline and demonstrable skills. Employers would gain access to young people who have received supervised preparation. However, professional relevance should not erase the scheme’s founding objective of national integration. Inter-State deployment can remain, provided it is balanced with security, suitable placements and the availability of basic facilities. Where a safe and meaningful placement cannot be guaranteed outside a graduate’s State, an alternative should be considered. Orientation and community development activities can continue to promote cultural exchange, citizenship and service.
The Federal Government and NYSC management should convene consultations involving corps members, parents, universities, employers, security agencies and State Governments. Decisions should be based on evidence and the experiences of serving and former corps members. NYSC was created to help rebuild a nation divided by war. Its ideals remain important, but institutions must adapt to changing realities. Success should not be measured only by the number of graduates mobilised or certificates issued. It should also be measured by the skills acquired, the contribution made and whether young Nigerians complete their service safely and with dignity. It can better preserve the scheme’s founding ideals while meeting today’s economic and professional needs. A vocationally driven; adequately remunerated NYSC would turn national service from a costly obligation into a bridge between education, employment and national development. The purpose should not simply be to occupy graduates for twelve months, but to prepare them to work, serve and contribute meaningfully to Nigeria’s future.
Sylvia ThankGod-Amadi
Opinion
Protecting Nigeria’s Democratic Space
Quote: “Democracy is not
As the 2027 general elections
Organisers said they had
Police intervention
In Kaduna, the ADC accused
These claims require prompt
These rights apply equally to
No ambition, party or
By: Sylvia ThankGod-Amadi
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