Head of Information at the Nigeria Labour Congress (NLC), Benson Upah, stated that a proposed ₦100,000 minimum wage would be insufficient to address the economic challenges confronting Nigerian workers amid rising inflation and increasing living costs.
Speaking during an interview on ARISE News while reacting to calls by some state governors for a ₦100,000 minimum wage, Upah said the proposal represents progress but remains inadequate given current economic realities.
“₦100,000 is neither here nor there,” he said.
According to Upah, inflation, exchange rate pressures, rising tariffs, taxes, and increasing fuel costs have significantly weakened the purchasing power of Nigerian workers.
“The purchasing power of Nigerians has dropped significantly,” he stated.
He explained that recent increases in electricity tariffs, telecommunications charges, and other living expenses have further intensified financial pressures on households.
“Tariffs have been up over time,” he said.
Upah said that the current inflation rate and exchange rate conditions continue to erode workers’ incomes despite periodic wage reviews.
“Inflation remains high,” he stated.
According to him, rising petrol prices have also worsened the situation by increasing transportation and other everyday costs.
“Anything that hits transportation hits everything else,” he said.
Upah emphasized that the declining spending power of Nigerians is visible across the economy, particularly in commercial centres and retail businesses.
“The purchasing power of the average Nigerian has been taken away,” he stated.
He recalled observing low consumer activity in a major shopping mall, describing it as evidence of weakening household spending.
“It was heartbreaking,” he said.
According to Upah, discussions about a new minimum wage are necessary because economic realities have changed significantly since the last wage review.
“Time is ripe to open up negotiations for a new minimum wage,” he stated.
He said that wage increases should not be viewed as favours from government but as necessary adjustments to economic conditions.
“It is not a favour,” he said.
Upah stated that increasing workers’ incomes would stimulate broader economic activity by boosting consumption and supporting businesses.
“Workers will go to the market and everybody will benefit,” he stated.
According to him, governments now have greater financial capacity due to increased revenue allocations and gains arising from economic reforms.
“The governments have more than enough to pay,” he said.
Upah also maintained that improving workers’ welfare requires more than salary increases alone.
“We do not focus on money alone,” he stated.
He identified housing, transportation, infrastructure, and social protection programmes as critical components of workers’ welfare.
“We look at housing, transportation and social protection,” he said.
According to Upah, the true measure of workers’ welfare lies in the value they derive from their income rather than the nominal size of their salaries.
“What counts is the value it gives to workers,” he stated.
Upah concluded that while the proposal for a ₦100,000 minimum wage represents a step forward, it remains inadequate in the face of inflation and rising living costs, stressing that government must combine wage increases with broader social and economic support measures to improve workers’ welfare.
Ojo Triumph
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