President Bola Tinubu on Wednesday assured Nigerians on the benefits of the ongoing economic reforms by his administration, despite the current hardships the reforms were causing the citizenry.
In a television broadcast to mark the June 12 2024 Democracy Day, Tinubu acknowledged the hardships associated with the implementation of the reforms, including the higher interest rates, partial removal of electricity subsidy, but said the current fiscal and monetary measures would create a stronger foundation for Nigeria’s future growth.
The President clarified: “Our economy has been in desperate need of reform for decades. It has been unbalanced because it was built on the flawed foundation of over-reliance on revenues from the exploitation of oil.
“As we continue to reform the economy, I shall always listen to the people and will never turn my back on you”, He added.
On the lingering face-off between the government and the organized labour groups on monthly minimum wage for workers, Tinubu said the discussions on the matter so far between the labour unions and the Federal Government and organized private sector (OPS) representatives had been conducted in good faith.
To legislate on the new minimum wage, the President said that the government “shall soon send an executive bill to the National Assembly to enshrine what has been agreed upon as part of our law for the next five years or less.”
In a related development, the Minister of Information and National Orientation, Mohammed Idris, has also appealed to the organised labour groups to agree on a national minimum wage that will not undermine the economy and lead to mass retrenchment of workers.
Idris, who made the appeal while declaring open the 2024 Synod of the Charismatic Bishops Conference of Nigeria in Abuja, stressed the need for a realistic and sustainable wage system that balances workers’ needs with the country’s economic realities.
Stressing that the government’s commitment to reviewing the minimum wage remains total, the minister cautioned against demands by the labour groups that could harm the economy.
Idris listed one of the government’s efforts to reduce the cost of living and increase Nigerians’ purchasing power as the Presidential CNG initiative, which aims to cut transportation costs by 50 per cent.
He clarified: “As I have repeatedly said, the Federal Government is not opposed to the increase of wages for Nigerian Workers but we keep on advocating for a realistic and sustainable wage system for the workers – a wage system that will not undermine the economy, lead to mass retrenchment of workers and jeopardise the welfare of about 200 million Nigerians.
“We want the Labour Unions to understand that the relief that Nigerians are expecting, and that they fully deserve, will not come only in the form of an increase in wages. It will also come as efforts to reduce the cost of living and to ensure that more money stays in the pockets of Nigerians.
“And this is where programmes like the Presidential CNG initiative come in. By replacing or complementing petrol usage with CNG, that programme alone will cut transportation costs by as much as 50 percent”, Idris added.
