Editorial

Towards Minimum Wage Implementation

Published

2 years ago

May 17, 2024

It is not surprising that organised labour is pushing for a wage review, as President Bola Tinubu’s economic re-
form has negatively impacted Nigerian workers. Since taking office last May, the economy has been in turmoil, leading to hardships for many employees. The need for a wage increase is vital as workers continue to bear the brunt of the economic downturn.
The implementation of minimum wages in Nigeria has historically faced several obstacles. Despite the government’s mandate to set and enforce a minimum wage for all workers, many employers, particularly state governors and in the informal sector, fail to comply. This widespread non-compliance undermines the objective of protecting workers from exploitation and ensuring a basic standard of living.
Numerous factors contribute to the challenge of implementing minimum wages in Nigeria. One major issue is the lack of effective enforcement mechanisms. The National Salaries, Incomes and Wages Commission (NSIWC) is responsible for enforcing the minimum wage, but its powers are often limited. Employers who violate the law often go unpunished due to weak enforcement and the high cost of legal proceedings for workers.
In the negotiations between the federal and state governments, a critical factor that must be considered is finding the right balance amidst the challenges posed by the country’s double-digit inflation rate, the growing national debt profile, and the pressing issue of ensuring timely payments from both state and federal authorities. Both levels of government must collaborate to address these economic concerns and come to a mutually beneficial agreement that prioritises the financial stability of the nation.
Things are not looking good. The organised labour, represented by the Nigeria Labour Congress and the Trade Union Congress, has proposed an astronomical jump from the current N30,000 per month to N650,000. While it is undeniable that the current rate of N30,000 is insufficient, the drastic increase to N650,000 is simply not realistic and may not be feasible for the government to implement. Both parties should find a middle ground that is fair and sustainable for all stakeholders involved.
The challenge before the minimum wage committee, which Tinubu inaugurated recently, is to find a realistic rate for all the parties concerned, including the private sector. This task is not an easy one, as there are various factors to consider when determining a fair minimum wage that benefits both workers and employers. The committee will need to take into account the cost of living, the current economic situation, as well as the financial capabilities of businesses, especially small and medium-sized enterprises.
Incidentally, the Nigerian economy is facing multiple challenges at the moment. With inflation at a staggering 29.90 per cent, a debt stock of N87.9 trillion, a high lending rate of 18.75 per cent, and a grossly devalued naira at N1,300 per $1, the cost-of-living crisis has worsened. The recent surge in food inflation, jumping to 35.41 per cent in January from 23.75 per cent the previous month has added to the economic woes. Moreover, the rapid price increases in petrol and diesel, essential for the economy, have further burdened the already distressed population.
Hence, the demand by labour for an upward wage review is justified given the rising cost of living and inflation. However, the government faces a dilemma in determining the appropriate rate of increment. Nigeria’s economic situation is dire, with debt servicing consuming a staggering 99 per cent of its revenue in the first quarter of 2023. Balancing the need to improve workers’ welfare with the constraints of the economy is a delicate task. The government must engage in constructive dialogue with labour to find a compromise that addresses their legitimate demands while ensuring the long-term sustainability of the economy.
Incidentally, the meeting between the Federal Government and the organised labour was deadlocked on Wednesday, as the government was reported to have offered a paltry N48,000 as the new minimum wage, which is a far cry from the N615,000 being demanded by labour.
Apparently irked by the Federal Government’s offer, representatives of labour were said to have stormed out of the meeting in protest. However, both parties still need to find a common ground to resolve this knotty issue. Constructive dialogue is key.
If the government succumbs to labour’s demands and borrows more to fund the wage increase, its financial stability will be further compromised. This could lead to a debt crisis, with severe consequences for the economy. The governing authorities must explore alternative revenue sources and implement prudent fiscal measures to address labour’s concerns without jeopardising the nation’s financial health.
Retrospectively, an excessively high minimum wage can pose challenges for States. When the wage was raised to N18,000 during the Goodluck Jonathan era, many States struggled to meet their salary obligations. As of October 2023, BudgIT reported that 15 states were still failing to pay the N30,000 minimum wage set by the Muhammadu Buhari administration in 2019. This situation has dire consequences for workers, who rely on their wages for sustenance.
The inability of States to pay the minimum wage is often attributed to their limited economic viability. Data from Economic Confidential indicates that only seven States are economically viable without federal allocations. This means that the majority of States rely heavily on federal support to meet their financial obligations. When the minimum wage is raised too high, States with weak economies may find it difficult to balance their budgets and fulfill their responsibilities to both workers and other sectors.
Any minimum wage that will be agreed upon should be sufficient to meet the needs of Nigerians. Unfortunately, many state governors have failed to implement the wage award approved by the Federal Government for civil servants, despite the high cost of living. This lack of action is unacceptable and shows a lack of appreciation for the struggles that public sector workers face. State governors should prioritise the well-being of their employees and ensure that they are able to make ends meet with the wages they receive.
We firmly advocate for the autonomy of state governments to streamline their workforce by retaining only those workers who demonstrate productivity. An example of this would be questioning the necessity of hiring typists in the era of advanced technology. Additionally, the rationale behind employing 20 drivers within a government agency deprived of operational vehicles may also be subject to scrutiny.
Many governors overlook the importance of paying their workers properly, which can have a positive impact on the overall productivity and economic growth of their States. States should have thriving industries that can create employment opportunities. Governors need to understand that low consumer demand can hinder the growth of businesses in their domains. They have to consider implementing efficient wage systems to ensure fair compensation for workers and foster economic development.

Editorial

Nigeria: Cushioning Effects Of M’East Crisis

Published

1 day ago

March 30, 2026

The Tide

The ongoing crisis in the Middle East between the United States and Israel on one hand and Iran on the other has once again unsettled global stability, with escalating tensions disrupting oil production routes and threatening key supply chains. Conflicts involving major oil-producing nations and strategic waterways have created uncertainty in the international energy market. As history has repeatedly shown, instability in this region often sends shockwaves across the global economy, particularly in energy-dependent countries.

One of the most immediate consequences of this war has been a sharp rise in global crude oil prices. Brent Crude has surged between $105 and $110 per barrel in recent weeks, reflecting fears of supply shortages. This increase has translated into higher fuel costs worldwide, placing immense pressure on both developed and developing economies.

Nigeria, despite being a major crude oil producer, has not been spared. The country’s heavy reliance on imported refined petroleum products has meant that global price increases directly affect domestic fuel costs. Rather than benefiting fully from higher crude prices, Nigerians are grappling with the paradox of rising oil wealth alongside worsening living conditions.

The impact on the cost of living has been severe. Transportation fares across major cities have increased by over 50 per cent, while food inflation has climbed above 30 per cent, according to recent data from the National Bureau of Statistics (NBS). The ripple effect of higher fuel prices has touched every sector, from agriculture to manufacturing, making basic goods increasingly unaffordable for ordinary citizens.

In response to this growing hardship, the Nigeria Labour Congress (NLC) has demanded urgent intervention from the Federal Government to cushion the effects of the recent spike in petrol prices occasioned by the Middle East crisis. The call reflects widespread frustration among workers and the broader population.

The NLC made this demand in a statement titled “Save Nigerians From This Shock: An Urgent Relief Has Become Necessary,” signed by its President, Joe Ajaero. The statement underscores the urgency of the situation and highlights the growing disconnect between government policy and the lived realities of citizens.

We strongly support the NLC’s clarion call and urge the administration of President Bola Tinubu to take immediate and decisive steps to cushion the harsh effects of the crisis on Nigerians. Leadership at this critical moment requires bold, people-centred policies that prioritise national welfare over market orthodoxy.

One such step is the reintroduction of a fuel subsidy, funded by the gains from the current surge in global crude oil prices. The government could choose to subsidise either the finished petroleum products or the crude supplied to local refiners. Providing crude at reduced rates to Aliko Dangote refinery would significantly lower the final pump price for consumers.

This brings into focus the role of Dangote, whose refinery has the potential to transform Nigeria’s energy landscape. Dangote has stated that the Federal Government currently supplies only 30 per cent of the crude required for his refinery, compelling him to import the remaining 70 per cent. For a country that produces millions of barrels daily, this situation is both inefficient and unacceptable.

Beyond fuel pricing, there is a pressing need for direct support to workers. A cost-of-living allowance, a wage award, and targeted tax relief measures would provide immediate relief. At the same time, the government must take concrete steps to revive Nigeria’s dormant public refineries, which have long been a drain on public resources without delivering value.

The sharp rise in fuel prices, now selling at approximately N1,310 to N1,400 per litre in many parts of the country, has deepened economic hardship. For millions of Nigerians, daily survival has become a struggle. Without urgent intervention, the nation risks severe social unrest, as frustration continues to mount among the populace.

It is deeply troubling that the Federal Government appears to have left Nigerians at the mercy of volatile global oil prices triggered by the Middle East imbroglio. This situation has exposed the fragility of the downstream petroleum sector and highlighted the failure to build resilience despite decades of oil wealth.

As long as Nigeria remains tied to a market-driven pricing structure dictated by global fluctuations and continues to neglect its domestic refining capacity, it will remain vulnerable to external shocks. International conflicts and speculative market forces will continue to dictate the economic fate of Nigerian households.

Nigerian workers are being pauperised and subjected to immense suffering. They are not mere statistics; they are the engine of the nation’s economy. When that engine overheats, the entire system risks collapse. Ignoring their plight is not just unjust—it is economically reckless.

Finally, the estimated N30 trillion oil windfall expected from the current crisis must not be squandered as in the past. These resources should be transparently managed and invested in social protection programmes, infrastructure, and economic stabilisation. In addition, Nigeria must develop robust crude storage systems, as seen in other countries, to cushion future shocks. Failure to properly manage the energy situation could further accelerate inflation, compounding the already substantial burden on citizens.

Editorial

Thumbs Up For Sit-At-Home Reversal

Published

1 week ago

March 23, 2026

The Tide

For the first time in over five years, the bustling markets of Anambra State, particularly the sprawling Onitsha Main Market, opened for business on February 2, 2026, without the fear of coercion or violence. This development marks the definitive end of the illegal Monday sit-at-home order that has held the South-East region hostage since 2021. Governor Chukwuma Soludo has achieved what many thought impossible, finally laying to rest an obnoxious practice that has bled the region dry economically and psychologically.

The Monday sit-at-home order was first declared by the Indigenous People of Biafra (IPOB) on July 30, 2021. The proscribed organisation imposed the directive to pressure the Federal Government into releasing their detained leader, Nnamdi Kanu, and to advance their demand for the creation of an independent sovereign state of Biafra. What began as a protest mechanism quickly degenerated into a compulsory lockdown enforced through intimidation and violence.

For more than four years, the South-East had been crippled every Monday. Schools remained shut, businesses pulled down their shutters, and economic activity ground to a halt across the five states of Anambra, Abia, Enugu, Ebonyi, and Imo. Governor Soludo recently quantified the devastation, noting that every Monday lost represented about 20 per cent of the work week for the region’s informal economy. When calculated over 52 weeks annually for several years, the cumulative losses are truly staggering.

The economic cost to the region has been nothing short of catastrophic. Investors fled, businesses relocated to other parts of the country, and the South-East lost its competitive edge as West Africa’s premier commercial hub. The Onitsha Main Market, reputedly the largest market in West Africa, sat empty every Monday. Thousands of traders lost 52 working days every year, children missed countless hours of education, and families saw their incomes dwindle. The opportunity cost of this self-imposed isolation runs into hundreds of billions of naira.

Professor Soludo demonstrated exceptional leadership by taking the bull by the horns. His administration ordered the closure of the Onitsha Main Market for one week, sending a clear message that the era of economic sabotage was over. Following this decisive action, he engaged in meaningful dialogue with traders and stakeholders, reaching a consensus that markets must operate on Mondays like every other day of the week.

The results of this courageous stance are now visible for all to see. Over 45,000 shops at the Onitsha Main Market reopened for business, and traders turned out in their tens of thousands, jubilant that they could finally resume their livelihoods without fear. The atmosphere was reportedly electric, with over 100,000 people celebrating what many described as a liberation from years of economic captivity imposed by faceless enforcers.

Soludo deserves the highest commendation for confronting this age-long practice that isolated the South-East from the rest of Nigeria. It takes uncommon courage and determination to challenge an entrenched system enforced through fear and violence.

It is senseless for any group to impose such hardship on the very people it claims to be fighting to liberate. Perhaps IPOB thought they were punishing the Federal Government by shutting down the South-East every Monday. Little did they realise that they were inflicting the deepest wounds on their own people. The traders, the schoolchildren, the transporters, and the ordinary workers who lost income and opportunities were all Igbos, the very constituency IPOB professes to protect.

Can it be imagined what it takes to shut down an entire geopolitical zone every Monday for over four years? The mathematics of loss is simple but devastating: 52 Mondays annually means 52 lost working days per year. For a region built on commerce and entrepreneurship, this represented a self-inflicted wound that no external enemy could have achieved. The South-East was effectively closed for business one day every week while the rest of Nigeria moved forward.

Thankfully, IPOB has now officially endorsed the cancellation of the sit-at-home order once and for all. In a statement released, the group announced that Nnamdi Kanu had directed the “total cancellation” of the directive, urging residents to open their shops, go to work, and send their children to school without fear. This is a welcome development, though we must approach it with cautious optimism, as this is not the first time such announcements have been made.

Previous attempts to end the practice were frustrated by the activities of one Simon Ekpa, a self-styled disciple of the IPOB leader based in Finland. Whenever IPOB issued statements calling for a cessation of the sit-at-home, Ekpa would counter with orders for its continuation, creating confusion and perpetuating the cycle of fear. Now that Ekpa has been convicted and jailed in Finland for inciting terrorism and tax fraud, we hope there will be no further excuses to continue this damaging observance.

With the definitive end of the sit-at-home order, people in the South-East, as well as Nigerians travelling through the region, can finally heave a sigh of relief. The order caused immense apprehension for travellers who had to pass through the South-East to reach other parts of the country. Major highways were deserted on Mondays, creating security vulnerabilities and disrupting the flow of commerce and movement across the nation. This created countless problems for families, businesses, and national cohesion.

Now that this painful chapter has come to an end, we urge the proscribed IPOB not to renege on their decision. The South-East people, who were the greatest victims of this infamous order, can now return to doing what they do best: business. The resilience of the Igbo entrepreneur is legendary, and given the opportunity, the region will bounce back stronger than ever. However, this requires that the peace holds and the markets remain open every Monday without exception.

We urge everyone in the region—business owners, market leaders, transporters, stakeholders, and ordinary citizens—to cooperate fully to ensure that this new development is sustained. The government at all levels must also begin to address the underlying issues that led to this ugly incident. We cannot run away from the fact that there is a genuine feeling of marginalisation and oppression in the South-East that the Federal Government needs to look into.

Undoubtedly, Governor Soludo’s action has impacted positively on Anambra State and the entire region. It is a huge plus for the state’s economy, the security architecture of the South-East, and the confidence of investors who had written off the region as too risky for business. By restoring normalcy to Mondays, Soludo has given the people back their most valuable asset: the freedom to earn a living without fear. This is leadership, and this is progress.

Editorial

Advancing Women, Humanity, Through IWD 2026

Published

2 weeks ago

March 16, 2026

The Tide

On March 8, the world once again commemorated International Women’s Day (IWD) 2026, a global moment dedicated to celebrating the achievements of women and renewing commitment to gender equality. This year’s theme, “Give to Gain,” carries a simple but powerful message: when society gives support to women, society itself gains progress, stability, and prosperity.

International Women’s Day is observed annually to recognise the social, economic, cultural, and political achievements of women. It also serves as a reminder that, despite progress made over the decades, gender inequality remains a persistent global challenge that demands collective action.

The IWD 2026 “Give to Gain” campaign encourages a mindset of generosity and collaboration. It calls on governments, institutions, organisations, and individuals to support women’s advancement, recognising that empowerment grows when opportunities are shared and barriers are removed.

At the heart of the campaign is the principle of reciprocity. When people and institutions give generously—whether through opportunities, encouragement, or resources—the benefits multiply. Giving is not subtraction; it is intentional multiplication. When women thrive, families prosper, communities develop, and nations rise.

The concept of giving extends beyond financial assistance. Support for women can come through donations, knowledge, resources, infrastructure, visibility, advocacy, education, training, mentoring, and time. Each contribution strengthens the foundation for a more inclusive and interconnected world.

In this sense, “Give to Gain” is not merely a slogan; it is a global call to action. Every society, institution, and individual has a role to play in creating pathways for women and girls to realise their full potential.

For individuals, giving support means challenging harmful stereotypes and standing against discrimination wherever it occurs. It means questioning prejudices that limit women’s opportunities and celebrating the successes of women in every field of endeavour.

When people actively support gender equality, they reinforce a shared sense of purpose. This support produces a ripple effect: one act of advocacy encourages another, and collective effort spreads impact far beyond its original point.

The campaign, therefore, reminds us that empowerment is not a solitary journey. It is a shared responsibility that requires continuous commitment from communities across the globe.

Once again, the message is clear: everyone can give something. Through encouragement, advocacy, mentorship, or policy reform, society can help women and girls gain the opportunities they deserve.

In Nigeria, however, the message of “Give to Gain” resonates with particular urgency. Women’s rights remain constrained by deeply entrenched patriarchal norms that shape laws, politics, culture, and everyday life.

Despite decades of advocacy and repeated promises by leaders, the lived reality of many Nigerian women is still defined by systemic inequality, violence, and exclusion.

Statistics paint a troubling picture. Women hold only about 3.9 per cent of seats in Nigeria’s National Assembly, one of the lowest rates of female representation in the world. Nearly 43.4 per cent of Nigerian women aged 20–24 were married before the age of 18, while 13.2 per cent of women aged 15–49 report experiencing physical or sexual violence. These figures reveal the depth of gender inequality that still persists.

To realise the ideals of “Give to Gain” in Nigeria, deliberate action is required at all levels of government. The Federal Government must strengthen laws that protect women’s rights and ensure greater representation in governance. State governments should expand access to education, economic empowerment programmes, and protection against gender-based violence. Local governments must prioritise grassroots awareness, training, and opportunities that enable women to participate fully in community development.

Encouragingly, initiatives have begun to emerge. In Rivers State, Siminalayi Fubara used the 2026 celebration of International Women’s Day to reaffirm support for women’s empowerment, distributing N50,000 grants to 1,000 women. The First Lady, Valerie Fubara, also supported 20 women farmers with N10 million through the Renewed Hope Initiative Women Agricultural Support Programme, demonstrating how targeted support can improve livelihoods.

The responsibility for gender equality does not lie with governments alone. Individuals, organisations, and community groups must sustain the spirit of the IWD 2026 “Give to Gain” campaign throughout the year. By giving support, opportunity, and respect to women and girls, society gains a stronger, fairer, and more prosperous future for all.