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N70,000 transport allowance: Ajaero defends NLC deal as NECA demands employers’ inclusion

The President of the Nigeria Labour Congress (NLC), Joe Ajaero, has criticised the Trade Union Congress (TUC) for rejecting the negotiated N70,000 transport allowance for workers, describing the agreement as an important intervention to ease the impact of rising petrol prices and the cost of living.

Ajaero challenged the TUC to negotiate better benefits for its members rather than condemn an agreement it was not directly involved in negotiating.

The disagreement comes as the Nigeria Employers’ Consultative Association (NECA) has insisted that organised private-sector employers cannot be bound by minimum wage agreements reached between the Federal Government and organised labour without their participation and approval.

Speaking on Channels Television on Thursday, Ajaero said Nigerian workers had endured difficult economic conditions without sufficient relief before the NLC threatened industrial action to secure the transport allowance.

He described the agreement as a significant achievement, particularly considering the pressure on workers’ incomes.

According to him, the six-month intervention should not end without a new minimum wage arrangement that reflects prevailing economic realities.

Addressing the TUC’s opposition to the agreement, Ajaero expressed surprise at the criticism, arguing that an organisation that did not participate in the negotiations should not reject the outcome.

He urged the TUC to pursue a separate agreement with better benefits if it considered the N70,000 allowance inadequate.

The NLC president questioned whether workers were better off receiving nothing while disagreements continued over the negotiated relief.

Ajaero maintained that the agreement could provide a foundation for further discussions on workers’ welfare across different employment categories.

He also warned that the six-month allowance must not expire without a replacement arrangement that takes into account the rising costs of transportation, food, housing and other basic necessities.

He argued that it would be unfair for the government to discontinue the allowance without introducing a new minimum wage arrangement.

Efforts by Vanguard to obtain a response from the TUC were unsuccessful.

The union’s Secretary-General, Nuhu Toro, reportedly answered a telephone call but said he was driving and would return the call after reaching his destination. However, he had yet to do so at the time of filing the report, while subsequent calls went unanswered.

NECA insists on employers’ participation

Meanwhile, NECA has maintained that the determination of the national minimum wage must follow a tripartite negotiation process involving the government, employers and workers as equal partners.

In a statement, the employers’ association acknowledged the ongoing discussions between the Federal Government and organised labour, recognising concerns about workers’ welfare, the rising cost of living and declining purchasing power.

However, it argued that employers must have an equal opportunity to participate in decisions affecting minimum wage determination.

NECA referenced International Labour Organisation conventions and recommendations, including Convention No. 144, Recommendation No. 113, the Minimum Wage Fixing Convention, 1970 (No. 131), the Minimum Wage Fixing Recommendation, 1970 (No. 135), and the Minimum Wage-Fixing Machinery Convention, 1928 (No. 26).

According to the association, these international instruments emphasise meaningful consultation and participation by representative employers’ and workers’ organisations in the determination of minimum wages.

NECA acknowledged that the government and organised labour could hold bilateral discussions but insisted that such engagements should not replace the statutory tripartite process.

It maintained that private-sector employers should not be considered parties to agreements reached without their participation and approval.

The association, however, clarified that its position did not remove employers’ responsibility to comply with any national minimum wage legally established under the National Minimum Wage Act.

NECA also stressed that it was not opposed to negotiations or a review of the national minimum wage.

Rather, it called for an inclusive, transparent and evidence-based process that considers the welfare of workers alongside the financial and operational realities facing employers.

The association said a sustainable minimum wage arrangement must balance employees’ legitimate expectations with the ability of businesses to remain productive and financially viable.

Source: Vanguard

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