Minimum Wage: Pre-Engagement Sessions Will Reduce Disharmony - NECA DG
Pre-Engagement Sessions Key to Minimum Wage Harmony

The Director-General of the Nigeria Employers' Consultative Association (NECA), Adewale-Smatt Oyerinde, has emphasised that back-end negotiations with organised labour before committee-level discussions on the next national minimum wage will help avert industrial crises. In an interview with Gloria Nwafor, he addressed emerging labour issues and the future of work.

Shaping the Future of Work

Oyerinde noted that the COVID-19 pandemic forced a re-evaluation of work practices, driving innovation. Employees' expectations have evolved beyond economic needs to include mental health, flexibility, and meaningful engagement. Employers are responding by focusing on sustainability and competitiveness, adapting to meet changing worker expectations while maintaining business viability.

Impact of Middle East Tensions

Discussing the global impact of Middle East conflicts on oil prices, Oyerinde described it as both an opportunity and a threat. Nigeria struggles to meet OPEC production quotas, limiting benefits from higher crude prices. He urged the government to implement short-term mitigation strategies, such as state-owned buses and trains during peak hours, to ease transportation costs for workers and households.

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Commitment to Decent Wages

Oyerinde reaffirmed NECA's commitment to decent wages, noting that many private sector organisations already pay above the N70,000 minimum wage. He advocated for responsible business conduct, ensuring workers receive fair compensation and a conducive work environment. The conversation on living wages continues at the International Labour Organisation (ILO), with NECA open to collaboration with organised labour.

Approach to 2027 Minimum Wage

On the next minimum wage, Oyerinde stressed the importance of pre-engagement sessions before committee-level talks to harmonise positions and avoid past pitfalls. He has shared international guidelines with key stakeholders to educate all parties on global parameters, facilitating smoother negotiations.

Addressing Insecurity

Oyerinde highlighted the detrimental impact of insecurity on business and job creation, particularly in the North East. He commended the military's efforts but called for more measures to protect citizens and prevent youth recruitment by bandits.

Tackling Unemployment and Skills Gap

He identified job availability and skills mismatch as primary causes of unemployment. He proposed tax rebates for job-creating companies and urged curriculum reforms at all educational levels to align with modern demands, including AI and ICT.

Workers' Day Message

Ahead of Workers' Day, Oyerinde commended the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) for their commitment and resilience, fostering cooperation to ensure productivity and decent work.

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