The President of the Nigeria Labour Congress (NLC), Joe Ajaero, has stressed the need for the Federal Government to address Nigeria’s rising cost of living and improve workers’ purchasing power rather than focus solely on increasing the national minimum wage.
Ajaero made the remarks during an interview on Channels Television on Thursday, amid ongoing discussions between organised labour and the Federal Government over a possible review of workers’ wages.
According to the NLC president, introducing a ₦1 million minimum wage without first addressing the economic conditions driving inflation could have serious consequences for the Nigerian economy.
“₦1,000,000 minimum wage will collapse the Nigerian economy,” Ajaero stated.
He argued that the central concern should be how to make workers’ earnings sufficient to meet their basic needs, particularly as the prices of food, transportation and other essential goods and services continue to put pressure on household budgets.
Ajaero maintained that strengthening the purchasing power of the naira and reducing the cost of living would provide more meaningful relief to Nigerian workers than wage increases alone.
His comments come amid growing concerns over the impact of rising fuel prices and transportation costs on workers’ disposable income.
The Federal Government recently approved a ₦70,000 transport allowance for workers as part of efforts to cushion the effects of increasing transportation expenses.
