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Sunday, 22 May 2016

More Trouble Ahead Between FG, Labour


The federal government is in talks with organised labour over the recent fuel price hike and subsequent strike action embarked by the Ayuba Wabba- led Nigeria Labour Congress (NLC) faction. In this report, Michael Oche writes that the government and organised labour may continue to lock horns as many more unresolved issues litter the polity.

Organized labour have always insisted that its role is to protect workers across the country. In fact, over the years, Nigerians have come to depend on the Nigerin Labour Congress, NLC to stand in for them, especially on issues they consider exploitative from government. If this is true, then the government must be ready to tangle with labour over some of the following issues.

N165 Billion Monthly Wage Bill:
A few days to the 2016 May Day celebration, the Nigeria Labour Congress (NLC) presented a proposal for a new minimum wage of N56,000 to the federal government. Prior to that, the NLC had engaged the federal government and threatened to embark on the nationwide strike if the government refuses to reduces electricity tariff which was increased

While it appeared labour was scoring good points against the government and winning the support of Nigerians, the federal government came out with a bombshell that it could no longer sustain the N165 billion it claims, it spends on wages of civil servants every month.

Minister of finance, Kemi Adeosun, who provided details on the economic reform agenda of the federal government, said the N165 billion being paid to federal civil servants monthly represented 40 per cent of the total spending of government.

In the words of the minister, “We spend N165 billion every month on salaries and when I came in there was no checking. We have been borrowing to pay salaries for years and that has to stop because it is not sustainable.”

The government continues to insist that there is no plan to retrench civil servants, saying that it would rather purge the public service of its teeming ghost workers.

However, it is one issue that will put the government and labour at loggerheads.

In its response to the finance minister’s claim, the Trade Union Congress of Nigeria (TUC) in a statement signed by its president, Comrade Bobboi Bala Kaigama and acting secretary-general Comrade Simeso Amachree said, “The Trade Union Congress of Nigeria will fight to finish any attempt to sack Nigerians for errors that are not theirs. It is the peak of injustice to sack a worker who earns a stipend just to be able to sustain payment of millions of naira to politicians. We cannot be made to bear the brunt of what we do not know about just to massage the ego and pockets of a privileged few.  Nobody or group should prompt a disruption of the prevailing peaceful industrial atmosphere in the country.”

It would be recalled that the minister’s statement came four days after the former special assistant to former President Goodluck Ebele Jonathan, Dr Doyin Okupe, asked governors to downsize because government is spending so much on salaries.

Minimum wage:

Though, the fuel subsidy removal appears to be the major issue raising dust and attracting lots of attention, but Nigerian workers also have their eyes set on the new minimum wage proposal by the NLC.

The federal government says it has concluded plans with labour unions in the country to set up a 15-member committee to review the national minimum wage.

Babachir Lawal, the Secretary to the Government of the Federation (SGF), while speaking after a meeting called to avert the planned strike by organised labour said the technical committee on the review of the minimum wage will work out the framework for the discussion and make recommendations to government and labour.

“The committee is expected to complete its work and report back to the committee of the whole house within six months,” Lawal said.

What it means is that the federal government will begin another round of negotiation with labour in six months time on the issue of minimum wage.

Recall that the other faction of NLC, led by Comrade Joe Ajaero had proposed a new minimum wage of N90, 000.

Electricity Tariff Hike:

In response to public outcry against the excruciating pain, faced by Nigerians, the Nigeria Labour Congress (NLC) has promised to declare a one-day nationwide strike against the insistence by the federal government to go on with the electricity tariff hike.

After the one day protest held by NLC in March to demand reduction in electricity tariff, no much has been heard from the labour union. Ayuba Wabba had during a recent press briefing disclosed that the labour union had not let go of the issue.

He revealed that labour will soon embark on the nationwide strike and was only bidding its time. During a recent meeting with journalists, Wabba said, NLC was yet to embark on the strike because it wanted Nigerians to feel the pain of electricity tariff increase, so that when the strike is called, Nigerians will be angry enough to join.

Given this position, it is anticipated that once this issue of fuel price hike is resolved, the next battle will be that of electricity tariff.

According to Wabba, Wabba said: “We will declare a one-day national strike to protest the hike in the electricity tariff. Though the day would be fixed after our meeting with the Trade Union Congress (TUC) and other critical stakeholders. What is clear to us is that most Nigerians cannot afford the new tariff. It is even worst when Nigerians are now forced to pay for darkness. The electricity companies are deliberately refusing to make meters available so that they can maximise profit.

“As of today, our transmission lines cannot carry more than 6,000 megawatts. So, even if by some magic the Federal Government achieves the 10,000 megawatts, how would that 10,000 be transmitted to the consumers?

“The transmission lines are very weak and in dire need of rehabilitation and building of new ones. So, let no one deceive the president that Nigeria can transmit 10,000 megawatts with the existing system we have in place.”

But in appealing to Nigerians to bear the burden of the new tariff, the minister of power, Mr Babatunde Fashola said: “I understand that people who have been disappointed over a long time will feel a sense of concern that again tariffs have gone up. But the truth is that these tariffs ought to have been there from day one. I don’t know why the government of yesterday was not courageous enough to tell us this was the price.

“It is a painful pill that I must appeal that we swallow. It is like quinine and malaria. It’s painful; it’s not sweet, I know that, but I do it because we are not left with many choices. This is the first major decision in power that this administration has taken. There are other problems.

“I can only appeal for some understanding and some trust that we do this in the best interest of our country. It is a hard decision.”

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