Emmanuel OchayiNigeria’s National Assembly has approved a budget that reduces allocations for minimum wage and salary-related payments for Ministries, Departments, and Agencies (MDAs).
The initially proposed N1 trillion by President Bola Tinubu for Public Service Wage Adjustment faced a cut to N550 billion, marking N450 billion decrease in the approved budget.
This decision comes amidst announcements of a revised minimum wage set to commence on April 1, 2024.
Idris Mohammed, the Minister of Information and National Orientation, disclosed plans for a new wage regime and the formation of a committee in collaboration with labor unions to develop this structure.
READ ALSO: 2024 Budget Scales Second Reading Amid Call For Reduction In Borrowing
Tinubu emphasized the government’s commitment to implementing a new national living wage in his New Year message, citing its economic and moral necessity. However, this commitment seems at odds with the recent reduction in wage-related budget allocations, compounded by an earlier N100 billion cut in supplementary wage awards.
The reasons behind these budget cuts remain vague, leaving federal workers in a precarious situation, especially considering the challenges posed by policies like the removal of fuel subsidies.
The move by the National Assembly raises concerns about its potential adverse effects on workers’ economic stability amidst ongoing economic hardships.
Follow Us