N30,000 minimum wage is fair, says NECA

•Association urgesnew pay take offnext month

THE Nigeria Employers’ Consultative Association (NECA)has said the N30,000 minimum wage for workers is fair, adding that the Federal Government should begin the implementation by January, 2019.

NECA PresidentDr. Mohammed Yinusa,who stated this at a news conference in Lagos,  said  while the claim of inability to pay could be real, the expectation, however, was for each and every employer, including the government, to focus inward on its business or system and effect the necessary wholesale restructuring and financial re-engineering that will enable it comply with the laws.

He said if the issue of ability to payis to be the sole determinant of the National Minimum Wage, the country should as well do away completely with the notion and practice of setting a National Minimum Wage.

He said: “We believe the issue of ability to pay may not be as worrisome as often presented, if there is efficiency, effectiveness and prudence in the administration of the governance structure.

“We believe that the N30, 000 recommended is a fair wage that could lift workers purchasing power, increase total demand and ultimately stimulate economic activities.

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“While we note the need for the implementation of the recommended N30, 000, our national conversation should now be focused on how to broaden the nation’s revenue base, ensure the viability of the states of the federation, curb or eliminate wastages and rent seeking in all spheres of national life and increase our national aggregate output, which has consistently been hampered by inadequacy in our existing infrastructures and structures.”

Yinusa said the present political structure could be likened to the existence of one large National Distribution Centre (NDC) with only one major supply point and seemingly endless collection outlets that are either not enhancing inflow into the NDC or making negligible input.

“This model is certainly not sustainable,”

“We need to loosen the current political structure to allow emergence of several production centres in all nooks and cranny of the country to serve as feeder posts to the NDC. States that cannot sustain themselves should be encouraged to merge and emerge as a healthy productive centre, rather than the existing over-reliance on the centre.