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Implications of new minimum wage

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WITH the unwritten promise of a review every three years, the Federal Government and organised labour have settled for a new national minimum wage of N70,000 monthly. This is an increase of 133 per cent over the former N30,000. It has been a long-drawn saga. Ultimately, only a stable economy will make wages sustainable and meaningful.

By law, there should be a wage review every five years. The last one was in 2019 under President Muhammadu Buhari. That review hiked it to N30,000 from the N18,000 set under President Goodluck Jonathan. These reviews generated rancour and default.

In Nigeria, the wages are disdainful. With the naira depreciation, most workers are living in poverty. Compared to South Africa, Egypt, Morocco, Algeria, and Angola, Nigeria has the lowest, even at N70,000 monthly or about $44.

Shortly after President Bola Tinubu cancelled petrol subsidies in May 2023 and prompted the CBN to float the naira, the urgency of another review became apparent. Initially, labour proposed N615,000 monthly and later settled at N250,000. The tripartite committee of the government (federal and state), labour and the organised private sector pushed N62,000 after lengthy negotiations and a two-day labour strike.

For all the parties concerned, this is a Pyrrhic victory. Though some state governments indicated they would pay the new wage, many still sit on the fence. This is a bad signal. Many states are not financially viable with indications that some could go bankrupt when they start paying the new wage. States owe backlogs after every review. Despite the windfall from the removal of subsidies, the states need to cut their coat according to their cloth to be able to pay and still fund capex.

For labour, the increment brings temporal relief. At 34.19 per cent, inflation is at a 30-year peak. Food inflation is worse at 40.87 per cent. This pulverises the increment.

The OPS is uncomfortable with the N70,000 imposed on it by the centre. It has a point. Manufacturers operate in a difficult environment; many, including multinationals, are shutting down. Productivity is too low in Nigeria to sustain a 133 per cent jump.

The centre, which fronted the hike, does not have the resources to fund it. Consequently, Tinubu forwarded a N6.2 trillion supplementary budget to the Senate of which N3 trillion is to cover recurrent and N3.2 trillion for capex. This takes the 2024 budget to N34.9 trillion from N28.7 trillion. In 2023, the Federal Government serviced debt with N7.8 trillion, a 121 per cent increase from the N3.52 trillion in 2022.

So, the Federal Government is living beyond its means. This is bad economics. It spells more trouble. The CBN said the Federal Government serviced debt with N1.31 trillion or 74 per cent of its retained revenue of N1.76 trillion in the first quarter of 2024.

Therefore, the Tinubu government should stop living big; it should reduce the cost of governance, especially the urge to buy new aircraft and other luxuries. It should stop the dodgy payments to lawmakers in the guise of constituency projects and implement the Steve Oronsaye report on MDAs.

Tinubu’s team should focus on domestic refining of crude oil. The President should place a moratorium on borrowings and devise pragmatism to bring down inflation. He should shore up the value of the naira. To do this, the government should stop paying lip service to security. Food inflation is high primarily because of insecurity.

Tinubu should implement his tax review policy to boost the private sector. To fund the N3 trillion deficit, Tinubu asked the Senate to levy a new 50 per cent tax on banks’ forex profits. This is contradictory for a President who wants to reduce tax heads.

The chaos of the consequential adjustments could be addressed through tax reliefs for the higher cadre of workers. 

Hunger protests: NLC warns against clampdown

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The Nigeria Labour Congress, on Monday, issued a warning against any attempts to suppress Nigerians’ fundamental right to express their views, particularly in the light of the planned nationwide protests.

The NLC instead called on the government to engage the protesters constructively, rather than resorting to measures that could undermine citizens’ rights to voice their grievances.

The labour union also called on President Bola Tinubu to listen to the cries of Nigerians over hunger and widespread hardship in the country.

A section of Nigerians have been mobilised to start nationwide protests on August 1, under the hashtags #TinubuMustGo and #Revolution2024.

The Presidency, however, described such calls as treasonable, as it also accused the presidential candidate of the Labour Party, Peter Obi, and his supporters of spreading the hashtags.

In a lengthy tweet published on his X account on Saturday, the Special Adviser to the President on Information and Strategy, Bayo Onanuga, alleged that the sponsors of the protests were not democrats but anarchists.

“If they understand the meaning of their hashtags, they will realise they are clarion calls for treason. Wanting to end an elected government is high treason. Wanting revolution is a call for a coup d’etat, which is also high treason,” the presidential aide said.

The NLC, however, said the government should not engage in a “war-war” situation with Nigerians but to negotiate.

In a statement on Monday, the NLC President, Joe Ajaero, said, “As the date for the widely reported national protest looms, the Nigeria Labour Congress urges President Bola Ahmed Tinubu to invite the leadership of the protest movement for discussions on their grievances.

“The truth is that millions of Nigerians are angry about the state of the national economy. A situation where most Nigerian families are forced to eat one miserable meal a day and eating from the dustbin beckons for serious intervention by the government.”

Ajaero referenced a recent country living standards index assessment by the National Bureau of Statistics, which established that about 133 million Nigerians lived below the extreme poverty line.

He said, “When this statistics is added to the millions that are being recruited into the armies of the unemployed and under-employed Nigerians, one can easily situate the hardship, pain, frustrations and despair that many Nigerians are going through right now.

“The truth is that Nigerians have been hard pushed and super-pressed right against the walls of deep deprivation and acute want.

“It is, therefore, condescending and dismissive to describe the daily brutish ordeal that Nigerians are going through as a sponsored political dissent.”

Meanwhile, the Federal Capital Territory Commissioner of Police, Bennett Igweh, has called on the residents and indigenes not to partake in the planned nationwide protest.

The FCT police boss, speaking with journalists in Abuja, on Monday, urged the residents to shun the protest.

He stated that the police had made significant efforts to ensure security in the FCT, adding that the protest could jeopardise it.

“I want to appeal specifically to the residents and indigenes and everybody that is in FCT. Please, lions do not destroy their dens. You cannot see a lion that destroys its den, no. I would not like you to join this protest. I plead with you because we have suffered to ensure your safety.

“We have fought those people outside Abuja, we have been to Kaduna, Nasarawa, Niger to fight them (criminals), so that you can be safe. I have lost men. Last week alone in Gidango, I lost two policemen. The other day, I lost two again. Let our loss pay for the protest. I want to plead with you.

“We don’t need you to be in the streets before somebody will say he is trying the police might. Or you will say, you will do this, you will do that. Please, please, don’t destroy where you are living.”

Igweh said the government was doing its best by providing good roads among others.

He said, “If you check, the government has provided good roads. Whether it’s from the Minister of the FCT or the President, check the roads in FCT. From Wuse to anywhere you can check, even in the hinterlands.

“They are trying their best. I don’t need to talk to anybody, but I’m saying it because we have been in the FCT. We know when there are changes. There are changes now in FCT.

“And we don’t want miscreants to come from outside the FCT and start destroying them. We will go back to square one where we were before. I plead, I beg of you, do not join this protest.”

Also on Monday, the Chairman of the Gombe Network of Civil Society Organisations, Ibrahim Yusuf, said his members were not part of the planned protest in the country.

He then called for the reliefs promised by the President, noting it was yet to arrive in the state.

Yusuf, speaking at the Gombe State House of Assembly during the public hearing on the state Social Investment Programme Agency and Persons with Disabilities Protection and Establishment of Commission and other related matters bills, lamented the hardship in the country.

He, however, said, “We are not part of the protest. The truth is, there are things we need to acknowledge and confront. The majority of the messages I receive are requests for assistance because people are struggling with hunger and anger.

“That’s why they’re waiting for action. While the Federal Government has distributed palliative items to the state governments, we haven’t seen any evidence of this in Gombe State. We must hold our leaders accountable for addressing the grievances of the protesters.”

Speaking on the distribution of fertilisers, he said the President directed that 50 per cent of it should go to a specific group, lamenting that, “We’ve only seen a select few with access to these resources. The truth is, this system needs to change.”

Speaking earlier, the Attorney-General and Commissioner for Justice, Zubairu Umar, said following the change in the situation, the government was now obliged to feed its citizens, stressing that the responsibility of the government was to create an enabling environment.

“We are in a dire situation. Much as we agree that the whole idea of government is the protection of lives and property and the well-being of people, the government is not supposed to be the one to feed you.

“It’s not the responsibility of the government; you are to look for food by yourself. All the government needs to do is to give you an enabling environment.

“Unfortunately, in Nigeria, that’s not happening. Things are not happening the way they should and circumstances have made the situation so bad that the government will have to intervene.”

In his welcome address, the Speaker of the state House of Assembly, Abubakar Luggerewo, said the bill was presented to the Assembly as an executive Bill.

He considered it timely, due to the current economic hardship faced by not only citizens of Gombe State but Nigerians in general.

De Bruyne not leaving Manchester City-Guardiola

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Manchester City, Manager, Pep Guardiola, has confirmed that Kevin de Bruyne will not leave the club this summer amid transfer speculation of the Belgian midfield maestro plying his trade for Saudi Pro League.

According to a tweet from Fabrizio Romano on Tuesday, “Pep Guardiola has just confirmed that Kevin de Bruyne will NOT sign for Saudi Pro League this summer. “No, Kevin is NOT leaving,’ Pep says.”

Fake news, as clarified yesterday

Also, according to BBC sport.com, De Bruyne has been heavily linked with a summer move to Saudi Arabia.

He has one-year left on his Blues contract and said last month he would have to consider an offer from the Saudi Pro-League because of the “incredible money” available.

However, Guardiola is unconcerned.

Kevin isn’t leaving,” he told reporters before his side’s opening pre-season game against Celtic in Chapel Hill, North Carolina, on Wednesday (00:30 BST).

De Bruyne helped inspire City to the Premier League title last season, the club’s fourth in a row and his sixth in total at the club.

Crystal Palace’s England Euro 2024 squad member Ebereche Eze has been linked with a move to City, while Brazil goalkeeper Ederson has also been the subject of interest from Saudi Arabia.

But Guardiola feels it is more likely he will have the same squad as last season.

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Oil minister, Lokpobiri, wades into face-off between Dangote, regulatory agencies, IOCs

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The Minister of State Petroleum Resources [Oil] Heineken Lokpobiri has waded into the ongoing face-off between the Chairman and CEO of Dangote Group, Aliko Dangote and regulatory authorities in the oil and gas sector over issues surrounding the Dangote Refinery and Petro Chemical Plant.
Dangote and Nigeria’s oil industry regulatory authorities like Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) have been at loggerheads in recent weeks over the 650,000bpd refinery located in the Ibeju-Lekki area of Lagos State.
Things escalated on July 18, when Farouk Ahmed, the chief executive officer of NMDPRA had said local refineries, including the Dangote refinery, were producing inferior products compared to the ones imported into the country.
The oil regulator also accused Dangote of plans to monopolize the sector.
Dangote while conducting the leadership of the House of Representatives around the $20bn refinery over the weekend, denied both claims.
READ ALSO:Dangote Refinery insists IOCs frustrating crude purchase
Wading into the ongoing face-off, Lokpobiri on Monday convened a high-level meeting with Dangote and relevant stakeholders over issues surrounding the Dangote Refinery.
“I convened a high-level meeting with top executives from Dangote Group, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and the Nigerian National Petroleum Corporation Limited (NNPC) to address the ongoing issues surrounding the Dangote Refinery.
The meeting, according to the minister, “was a collaborative effort to find sustainable solutions to the challenges affecting the refinery. All parties involved demonstrated a strong commitment to proactive problem-solving and expressed their gratitude for the leadership and timely intervention provided.
“I emphasized the critical importance of cooperation and synergy among all stakeholders to ensure the success and optimal performance of Nigeria’s oil and gas sector, which is essential for the country’s economic growth and energy security” the Minister said in a statement posted on his X platform late on Monday.
By: Babajide Okeowo
The post Oil minister, Lokpobiri, wades into face-off between Dangote, regulatory agencies, IOCs appeared first on Latest Nigeria News | Top Stories from TVN.

20 states get FRSC sector commanders

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The Corps Marshal, Federal Road Safety Corps, FRSC, Shehu Mohammed, on Monday deployed new Sector Commanders for 20 states across the country.
This was captured in a statement issued by Mr Olusegun Ogungbemid, the Acting Corps Public Education, CPEO.
According to Mohammed, the redeployment was part of strategic intervention mechanisms, established to drive the policy thrust of the Corps and rejig operational activities in the field Commands.
He said that the deployment was also propelled by the renewed zeal, to reposition the Corps for greater performance and quality service delivery.
According to Mohammed, the affected states and the new Sector Commanders are as follows;
“Corps Commander (CC) Maxwell Lede, the former Principal Staff Officer II to the Corps Marshal, is now the Sector Commander, RS4.1 Plateau State Sector Command.
“The outgoing Zonal Head of Operations RS10HQ Sokoto, Mr Tijani Muhammed, now deployed as Sector Commander RS1.2 Kano.
“Mr Saliau Ibrahim moves from Kano Sector Command to Jigawa Sector Command, while the former Anambra State Sector Commander, Mr Adeoye Irelewuyi takes over as Ogun State Sector Commander.”
20 states get FRSC sector commanders

Elon Musk opens up about his transgender child

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The CEO of Tesla and Space X, Elon Musk, has said he was “tricked” into granting permission for his child to undergo puberty blockers.

Musk made the disclosure in a live interview with psychologist Jordan Peterson on X on Monday.

During the conversation, Peterson mentioned Musk’s decision to relocate SpaceX’s headquarters from California, citing the state’s new legislation, Assembly Bill 1955, which enables schools to keep a child’s sexual orientation or gender identity confidential from their parents.

This move came after California Governor, Gavin Newsom, signed the bill into law on Monday, July 15, 2024.

When Peterson asked the owner of X about his motivation for speaking out on this issue, Musk shared a personal experience involving his child, Xavier, who now identifies as transgender and goes by the name Vivian Jenna Wilson.

Musk stated, “It’s evil. You’re taking kids who are far below the age of consent.

“It’s very possible for adults to manipulate children who are having an actual identity crisis into believing that they are the wrong gender.”

Musk disclosed, “Well, it happened to one of my older boys. I was essentially tricked into signing documents for one of my older boys, Xavier. This was really before I had any understanding of what was going on, and we had COVID going on, so there was a lot of confusion. And I was told Xavier might commit suicide.”

Peterson, challenging the notion, said, “That was a lie right from the outset. No reliable clinician ever believed that.

“There was never any evidence for that, and also, if there is a higher suicide rate, the reason is the underlying depression and anxiety and not because of the gender dysphoria. And every god-d*** clinician knows that, too, and they’re too cowardly to come out and say it.”

Continuing, Musk said, “It’s incredibly evil. And I agree with you that the people that are promoting this should go to prison.

“I was tricked into doing this. It wasn’t explained to me that puberty blockers are actually just sterilization drugs.

“I lost my son, essentially. They call it ‘deadnaming’ for a reason. The reason they call it ‘deadnaming’ is because your son is dead, so my son, Xavier, is dead, killed by the woke mind virus.”

“So I vowed to destroy the woke mind virus after that. And we’re making some progress.”

According to a preprint study published by the Mayo Clinic earlier this year, puberty blockers have been linked to irreversible long-term fertility issues in boys, contradicting previous claims that the effects are reversible, as reported by Fox News.

The Mayo Clinic website states that puberty blockers, specifically GnRH analogues, are used to pause puberty in transgender and gender-diverse youth. These medications work by stopping the production of sex hormones, effectively halting physical changes associated with puberty

Daily Mail reports that Vivian Musk, formerly known as Xavier, publicly announced her transgender identity in June 2022, at the age of 18.

At the same time, she petitioned to legally change her name to Vivian and adopt her mother’s surname.

“I no longer want to be related to my biological father in any way, shape or form,” Vivian said.

Last week, Musk announced plans to relocate the headquarters of SpaceX and X to Texas, after a new California law that prohibits schools from forcing teachers to inform parents about changes to a student’s gender identity

“This is the final straw. Because of this law and the many others that preceded it, attacking both families and companies, SpaceX will now move its HQ from Hawthorne, California, to Starbase, Texas,” Musk wrote on X.

During the interview on Monday, Musk disclosed that he had previously told the governor that he would relocate his company if the bill was signed into law, indicating that his decision to move the headquarters was not a spontaneous reaction.

North remains work in progress – ACF

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The Arewa Consultative Forum, ACF, has observed that the North remains essentially a work in progress.
The forum noted that all the indices that track human progress, most of all poverty, illiteracy, health and security of life and property, tend to place the North at the deep end of the trough.
The forum, therefore, dissociated itself from the planned nationwide protest against bad governance, believing that it was ill-timed and counterproductive.
Chairman of the ACF, Mamman Osuman, who led other members of the forum on Monday during a visit to Governor Uba Sani of Kaduna State, explained, “Regarding the planned national protest, the ACF is not a party to it and will not support it as it is ill-timed and counterproductive.”
He said that the visit was meant to promote a deeper and wider conversation around the current crises of insecurity and poverty ravaging Northern Nigeria.
In their wisdom, he observed that Northern leaders, including state governors, Emirs and Chiefs and other elders, decided to establish the ACF in 2000, stressing that it was against the background of a similar crisis of widespread insecurity and strife.
According to him, the intention was to bring together on one platform, representatives of the diverse peoples of Northern Nigeria without regard to political, ethnic or religious affiliation.
According to him, “Today, however, despite our valiant efforts, the achievement of peace, unity and progress in the North remains essentially a work in progress.
“All the indices that track human progress, most of all poverty, illiteracy, health and security of life and property, tend to place the North at the deep end of the trough. A great deal of work awaits all Northerners.”
Osuman stated that it was incumbent on the leaders and citizens alike to change the narrative without further delay, pointing out that ACF remained committed to articulating and defending the interests of the peoples of the North through its various activities.
One such, he emphasized was the recently constituted Technical Committee that reviewed the 1999 Constitution (as amended) by the ACF, stating that the report of the Technical Committee formed the basis of ACF’s submission to the joint committees of the National Assembly on Constitution review.
North remains work in progress – ACF

NSHA directs state government to flush out illegal miners

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The Nasarawa State House of Assembly (NSHA) has directed the State Government to expel all illegal miners operating within the state in an effort to tackle insecurity.
The directive also stated that miners with licenses must comply with all legal requirements.
Danladi Jatau, Speaker of the House, issued the directives on Monday during a plenary session in response to a matter of public interest raised by Daniel Ogah Ogazi (APC, Kokona East).
Jatau expressed concern over the negative impact of illegal mining, particularly in Kokona Local Government Area, which has heightened tensions and endangered the safety of residents and their properties.
“Our resolution is to appreciate His Excellency Governor Abdullahi Sule for attracting investors to the state.
“However, we will not allow anyone to undermine these efforts.
“The position of the House is that the Commissioner of Police should mobilize his men to flush out all illegal miners in the state,” Jatau stated.
The Speaker assured that the House would support the state government in its efforts to eliminate illegal mining activities, thereby promoting peace and development across Nasarawa State.
Earlier, Daniel Ogah Ogazi pointed out the governor’s success in attracting investors to the state but expressed concern over the rampant illegal mining, particularly in Kokona LGA.
He noted that a mining site in the area has been dubbed “Sambisa Forest,” contributing to insecurity and negatively impacting the community.
“There was a site of lithium found in the Amba community, including areas such as Agaza, Kware, Ego, Egboka, and Agbadu.
“The law that established the mining act does not permit illegal mining, so we call on the government to flush out all illegal miners in the state,” Ogazi appealed.
Other members, including Onarigu Kana (SDP, Loko/Udege) and Jacob Ajegana Kudu (APC, Nasarawa Eggon East), also contributed to the discussion, stating the need for government regulation of mining activities to ensure community safety and equitable benefits.
NSHA directs state government to flush out illegal miners

Naira recovers, trade N1,500/$1 at official window

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The Nigerian currency, the naira started the week on a positive note against the American dollar on Monday, July 22, 2024.
The domestic currency shed a massive N96 to trade at N1,500/$1, data from the Nigerian Autonomous Foreign Exchange Market (NAFEM) has shown.
This is against the rate of N1,596/$1 it traded on Friday July 19, 2024.
The intra-day high and low recorded during the day were N1,610/$1 and N1,490/$1 respectively, representing a lean spread of N120$1.
READ ALSO:Naira gains N15 to trade N1,566/$1 at the official window
The naira also continued its recovery against the dollar at the parallel section of the FX market as the local currency gained N10 against the dollar to trade N1,570|$1, as against the rate of N1,580/$1 it traded the previous trading day.
The naira also gained N20 against the British Pound to trade at N2,050£1 as against the previous trading day’s rate of N2,070£1 representing a gain of N20 for the local currency.
The Canadian dollar continues to close flat against the naira to trade at N1,200| CA$1 same as the previous trading day rate of N1,200| CA$1.
The naira also gained N70 against the Euro to trade at ₦1,650/€1 as against the previous trading day’s rate of ₦1,720/€1.
By: Babajide Okeowo
The post Naira recovers, trade N1,500/$1 at official window appeared first on Latest Nigeria News | Top Stories from TVN.

Top 10 stories from across Nigerian Newspapers, Tuesday, July 23, 2024

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Here are the top 10 stories making headlines across the country.
1. Court rejects Abacha family’s N500m lawsuit against Nigerian govt
Justice Peter Lifu of the Federal High Court sitting in Abuja has dismissed a lawsuit filed by the family of the late Head of State, General Sani Abacha, challenging the Federal Government’s revocation of one of their properties in the Maitama District of Abuja.Read more
2. Tinubu returns home after attending AU meeting
President Bola Tinubu has returned to Abuja from Accra, Ghana, where he attended the 6th Mid-Year Coordination Meeting of the African Union.Read more
3. ‘#EndBadGovernance protest will lead to anarchy in Nigeria,’ Gumi warns
Popular Islamic cleric, Sheikh Ahmad Gumi, has called on organizers of the planned EndBadGovernanceInNigeria protest scheduled to commence on August 1 to shelve the idea because it could lead to anarchy.Read more
4. Governor Fubara urges Rivers monarchs to help combat crude oil theft
Rivers State Governor, Siminalayi Fubara, has called on traditional rulers to collaborate with the government in curbing crude oil theft and promoting stability and economic progress in Nigeria.Read more
5. Edo govt warns of nationwide crisis if APC interferes with September guber election
The Edo State Government has issued a stark warning, cautioning that interference by the opposition All Progressives Congress (APC) in the upcoming gubernatorial election on September 21, 2024, could precipitate a nationwide crisis.Read more
READ ALSO:Top 10 stories from across Nigerian Newspapers, Monday, July 22, 2024
6. First Lady, Oluremi Tinubu advocates constitutional change for gender equity in Nigerian politics
Nigeria’s First Lady, Senator Oluremi Tinubu, has called on political leaders across Nigeria to take concrete steps towards achieving gender equity in politics, emphasizing the need for legislative support.Read more
7. Substandard petroleum products claim: Reps panel places gag order on Dangote, NMDPRA, others, launches probe
The House of Representatives joint committee on petroleum resources (downstream and midstream) has placed a gag order on Alhaji Aliko Dangote, the Chairman of Dangote Refinery and Petrochemical Plant, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), International Oil Companies (IOCs) and other stakeholders.Read more
8. CPPE urges CBN to suspend increase in interest rate
Ahead of Tuesday’s Monetary Policy Committee (MPC) meeting of the Central Bank of Nigeria (CBN), the Centre for the Promotion of Private Enterprise (CPPE) has asked the apex bank to suspend the planned increase in banks’ interest rate.Read more
9. EFCC apprehends 10 suspected illegal miners in Oyo
The Economic and Financial Crimes Commission (EFCC) has detained ten individuals suspected of illegal mining activities in Ogbomoso, Oyo State.Read more
10. Onana moves to Aston Villa in £50m deal
English Premier League club Aston Villa have acquired midfielder Amadou Onana from Everton in a £50 million deal.Read more
The post Top 10 stories from across Nigerian Newspapers, Tuesday, July 23, 2024 appeared first on Latest Nigeria News | Top Stories from TVN.