On Sunday, Nigeria celebrated the 63rd anniversary of its independence, and President Bola Tinubu proposed a temporary increase in the minimum wage for those who were paid less.
The declaration was made just two days before the start of an indefinite strike by major trade unions on October 3 in opposition to the growing cost of living.
“Based upon our talks with labour, business, and other stakeholders, we are introducing a provisional wage award, increment, to enhance the federal minimum wage without causing undue inflation,” he said
The average low-grade employee would receive an extra 25,000 naira ($32) over the course of the following six months, bringing their salary to $71.
The action tries to lessen the effects of economic reforms, which according to his government are necessary to resurrect Nigeria’s ailing economy.
“At my inauguration, I made important promises about how I would govern this nation. Among those promises were pledges to reshape and modernise our economy and to secure the lives, liberty, and property of the people,” he said.
In an effort to draw in more foreign investment, Tinubu eliminated a long-standing fuel subsidy and liberalised the naira currency after winning the election in May.
Investors praised the reforms, which were deemed vital by his government to bolster Nigeria’s ailing economy.
However, with inflation now over 25% and fuel prices skyrocketing, people are finding it difficult to make ends meet.
Millions of small companies and homes in Nigeria also use petrol extensively to power generators because the nation does not produce enough energy to meet the requirements of its population.
Additionally, the minimum wage hike that was announced on Sunday was less than anticipated. The monthly pay is significantly less than the $260 that the unions had requested.
The news was met with a variety of reactions on the street.
“Considering the present economic state right now, the 25,000 might go a long way considering how judiciously we put it into use. At least, we should go for our needs and not our wants,” said make-up artist, Olabimpe Ibrahim.
Joseph Ioryem, a civil worker, disagreed, claiming that the typical individual could live on that amount of money.
“How much is even a bag of rice? A bag of rice is almost 35-38,000 naira. A family of three or four can’t live within a month period, he can’t live with 55,000 naira ($71),” he said.
Tinubu didn’t mention the impending, indefinite strike by unions that is set to begin on Tuesday during his speech.
