FEC directs minister to address budget shortfalls for new minimum wage implementation

By Kunle Sanni

The Federal Executive Council (FEC) has directed the Minister of Budget and Economic Planning, Abubakar Atiku Bagudu, to propose additional measures for the 2024 budget to address financial gaps anticipated from the implementation of the new minimum wage.

Minister of Information, Mohammed Idris, disclosed this to State House Correspondents following the Council meeting on Monday at the Council Chambers of the State House in Abuja.

Idris also revealed that President Tinubu will reconvene with the leaders of the organized labour as a follow-up to last week’s meeting, during which the labour leaders requested seven days to further consult with union members.

He noted that last week’s meeting between the President and organized labour was part of the ongoing negotiations with key stakeholders to reach an agreement on the new minimum wage for Nigerian workers.

“Last week, the National Labour Congress met the president. This, of course, was part of the consultation that the President has agreed upon.

“Recall that he had met the organized sector, and he had also met subnationals after the tripartite committee on Labour had submitted its report.

“To ensure a thorough analysis of the situation so that the government would come up with a minimum wage that works for all Nigerians, the federal government, the subnationals, and the organized private sector.”

The Minister added that a thorough analysis of the situation is necessary to allow the government to establish a minimum wage that benefits all Nigerians, including the Federal government, sub-national entities, and the organized private sector.

“That was also discussed today. The government has directed the Ministry of Budget to come up with additional support for the 2024 budget so that any differential or gaps that exist between the approved 2024 budget and the current requirements can be addressed through a supplementary budget,” the Minister added.

Consequently, Idris mentioned that the government is tirelessly working to establish a minimum wage that benefits all Nigerians.

He added that eventually, the final agreement will be submitted to the National Assembly for legislative approval.

“The government is working around the clock to ensure that it comes up with a minimum wage that works for all Nigerians. At the end of the day, this will be submitted to the National Assembly so that it can have legislative backing.

“Let me also say that the President is open to meeting the Nigerian Labour, Trade Union Congress, and all the affiliates. We expect that meeting to be held this coming Thursday.

“It is expected that the NLC, TUC, and all the affiliates, as requested by them last week, will meet the President on Thursday. After that, the President will transmit the final agreement or his views on the tripartite committee report to the National Assembly for legislation,” he added.

The Minister reiterated that President Tinubu understands organized labour’s desire to swiftly resolve the minimum wage issue, and the government is committed to addressing and finalizing the matter.

“Recall that this was already what the Labour unions requested during their meeting with Mr. President last week. The President agrees; he knows that Labour wants to quickly find a lasting solution to the issue of minimum wage, and the government is also committed to putting the issue of minimum wage behind it,” he concluded.