Minimum wage: Governor Sule concedes to labour’s demand, implements promotion instead

Nasarawa State Governor, Engineer Abdullahi Sule

Governor Abdullahi Sule of Nasarawa State has conceded to the demands of the organized labour in the state by accepting to implement backlog of promotions for workers, instead of implementing the new N70,000 minimum wage.

The decision was taken after Governor Sule met representatives of the organized labour at the Government House on Monday.

Recall that the Governor has announced the decision of his administration to commence the implementation of the new minimum wage this August, promising to even pay workers arrears of three months starting from May, June and July all in August.

However, the labour unions during the meeting, prevailed on the governor to suspend the implementation of the new minimum wage and to pay them their outstanding promotions.

To this end, Governor Sule has agreed to implement the promotion of workers in Nasarawa State from 2019 to 2023.

While restating the commitment of his administration to transparency and open door policy, he reeled our all the options available considering the financial capability of the state, allowing the labour unions to make their decision based on the resources at the disposal of the state.

“I made a promise to you that once the minimum wage is agreed, by the middle of August, today is the 12th, we will be able to work out a template to pay the areas of May, June and July. And for the month of August, we will take off with the new minimum wage. That was my promise, that was my wish, that is my prayer, that is my commitment up till this moment,” he said.

Governor Sule said the demand by labour for the implementation of the promotion of workers from 2019 to date, which would amount to about N200m is the easiest to approve but it will mean suspension of the implementation of the new minimum wage for a period of up to two years.

“I am much more aware, more than two months ago, that we have agreed about promotion between 2019 to date, that is from 2019-2023. The idea was to address promotion for the last four years 2019 to 2023 so that we will be up to date. We will not fall into the same problem that we had, which I inherited, where workers were not promoted for over eight years.

“What I told you then was that we were waiting for what will be the impact of the minimum wage. If the impact of the minimum wage comes to us as say, N800m a month, if you put together this N200m, it is about one billion. The state can not pay. The state does not have the capacity to pay,” he stated.

He explained that even though the federation allocation to the state has improved following the removal of oil subsidy, cost of materials have also appreciated such that even with the improved allocation Nasarawa State will still not be able to implement both the promotion of workers and new minimum wage at the same time.

“The contract of N3bn before is now N8bn. Cost of materials have changed. Even the cost of security has changed. That is the reality. I am not hiding anything from you, my books are open. Whatever you need to know, ask we will give it to you.

“It will not be my promise that, forget about the minimum wage, implement the promotion today. In that case, even when they finished everything regarding the minimum wage, we leave it for a little while, maybe for two years or more. I’m serious. Where are we going to get the money?” he stated.

He mentioned the request by labour stated in an earlier letter of appreciation where the unions asked him to suspend the implementation of the new minimum wage to a later date, at least when the Federal Government’s salary template is ready.

Governor Sule however reminded the unions that even the N30, 000 minimum wage template by the Federal Government was not fully implemented in the state, giving rise to the payment of consequential adjustment.

He also pointed out that if the salary template of the Federal Government is made public and Nasarawa State is not able to fully implement that template, then both the state government and labour will sit down to review it downward, particularly regarding the consequential adjustment.

The governor thereafter announced the decision of his administration to commence the implementation of the outstanding promotions of workers effective July this year.

Governor Abdullahi Sule of Nasarawa State and President Ahmed Bola Tinubu
Governor Abdullahi Sule of Nasarawa State and President Ahmed Bola Tinubu

He equally disclosed the intension of his administration to constitute the committee for the implementation of the new minimum wage, to be chaired by a professional accountant outside government.

The governor called on the unions to submit list of their members that would form part of the new minimum wage implementation committee.

Earlier in an opening remarks, Nasarawa State Chairman of the Nigerian Labour Congress (NLC), Comrade Ismaila Ayuba Oko, listed the two demands of the organized labour in the state as first, the implementation of promotion of workers and then waiting for the release of table of salaries for the new minimum wage presently being processed by the salaries and wages commission.

“Let us be on the same page and get it clear. We also sat at our level and took far reaching decisions. First, we want our promotion implemented. Secondly, the template for the new minimum wage is still being processed. As soon as that table is gotten, we will come back to the table and discuss the minimum wage. That is the position of labour,” Oko said.

The labour leader used the opportunity of the meeting to appreciate Governor Sule for what he has been doing to the people of the state.

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