We settled for a N70,000 minimum wage to prevent the government from raising fuel prices – Ajaero
Nigeria Labour Congress (NLC) President, Joe Ajaero, recently shed light on the discussions between organized labor and President Bola Tinubu, which led to the acceptance of a N70,000 minimum wage. In an interview on Arise TV, Ajaero detailed how labor rejected a proposed fuel price hike in exchange for the wage increase during a meeting at the Presidential Villa in Abuja.
He explained that organized labor initially pushed for a N250,000 minimum wage but eventually agreed to N70,000 after talks with the president. They also negotiated an alternative to fuel—Compressed Natural Gas (CNG). Labor experts had proposed converting vehicles to CNG at N300,000 per vehicle, but the government later set the cost at N800,000, which labor rejected.
During the negotiations, Tinubu mentioned that Nigeria should adjust its fuel prices to match those of neighboring countries, but labor refused to engage in that discussion. Despite settling on the N70,000 wage, Ajaero noted that the agreement was made under the condition that fuel prices wouldn’t increase further. However, the subsequent rise in fuel prices has worsened the economic situation for workers, who are now struggling with transportation costs and other challenges.
Ajaero emphasized that governance should involve proper negotiations with stakeholders, rather than unilateral decisions on sensitive issues like fuel prices or electricity tariffs. He criticized the lack of progress on CNG infrastructure, which the government had promised as a cleaner alternative to petrol.
Regarding potential strikes, Ajaero clarified that the NLC follows an internal process before declaring any industrial action, and that any decision to strike would be made in consultation with the organization’s leadership bodies.
Economist Kelvin Emmanuel, who also appeared on the show, criticized the lack of gas infrastructure in Nigeria, arguing that the government’s CNG initiative was flawed due to the absence of adequate refueling stations. He pointed out that, unlike petrol, CNG cannot be easily accessed across the country, making the transition to gas-powered vehicles difficult without the necessary infrastructure in place.
