Minimum wage poor, Labour leaders betrayed workers — Obasanjo

Former President Olusegun Obasanjo has criticised the N70,000 new minimum wage approved for workers by President Bola Tinubu, describing it as grossly inadequate to cover workers’ basic needs, including transportation, food, and housing.

The former President accused labour leaders of betraying workers by prioritising personal interests over collective welfare.

“That is the situation in Nigeria in the third decade of the 21st century.

“The minimum wage does not even cover transportation costs for some workers, let alone food, housing, and family upkeep,” Obasanjo wrote in his newly released book, “Nigeria: Past and Future”.

In Chapter 17 of the book, Obasanjo accused labour leader of neglecting leaders while pursuing personal interests.

“Workers need more attention than they are getting. It is their right, and they have been denied it for too long. They have become victims of those meant to protect their interests.

“How did it happen that a trade union leader, while in office, was negotiating with a political party to be adopted as a gubernatorial candidate?

“Because of their political ambitions, most union leaders are ineffective compared to the founding fathers’ expectations.

“The workers thereby become victims of selfish leaders who use their positions to achieve political heights.

“Rather than negotiate in the interest of the workers, they do sabre-rattling and they are called into the room and money in large amounts is stuffed into their hands and they keep quiet.

“That has been the case since 2015. And, if anything, it is going from bad to worse.”

Obasanjo also criticised government officials who openly admitted to paying off labour leaders to stop agitation.

“How do we explain a senior official close to the President saying, ‘We have paid them to keep quiet and stop agitating’?

“What contributions are such labour leaders and their unions making to the country’s progress? You do not get the best from a frustrated and depressed worker.”

While acknowledging that anyone has the right to pursue politics, Obasanjo argued that it was unethical for labour leaders to use their unions as platforms for political advancement, as it creates a conflict of interest.

He proposed a law requiring labour leaders to wait at least five years after leaving office before participating in politics.

On July 29, 2024, Tinubu signed the N70,000 minimum wage into law after negotiations with organised labour and the private sector were finalised on July 18, 2024.

This concluded months-long talks in which Tinubu reduced labour’s initial N250,000/month demand to N70,000/month.

Before this, the country’s minimum wage stood at N33,000, signed into law by former President Muhammadu Buhari on April 18, 2019.