• ABOUT
  • CONTACT
  • ADVERTISE
  • PRIVACY POLICY
  • DONATE
  • SUBSCRIBE
  • WRITE FOR US
WELCOME TO MY WOVEN WORDS
  • Home
  • Favourite
    • Culture
    • History
    • Mythology
    • Folktale
    • Biography
    • Featured
      • Face of the Week
      • Brand of the Week
      • Interview
  • How To
    • Recipe
    • Relationship
    • Fashion
    • Health
    • Food
    • Motivational
    • Inspirational
    • Entrepreneurship
    • Business
    • Technology
  • Entertainment
    • Laugh Out Loud
    • Music
    • Article
    • Interview
    • Album Review
    • Omo Baba Ogunleye
    • Short Story
    • Poetry
  • Self Development
    • Motivational
    • Inspirational
    • Business
    • Entrepreneurship
    • Recipe
    • Interview
    • Biography
    • Relationship
    • Health
  • Literature
    • Competition Entry
    • Article
    • Poetry
    • Short Story
  • Columns
    • Poet Arin
    • Emmanuel Ikoromasoma
    • Omo Baba Ogunleye
    • Communicate Your Transformation
    • Superlight’s Guidelines
    • Janna Onyemaobi
    • De Jakins
No Result
View All Result
  • Home
  • Favourite
    • Culture
    • History
    • Mythology
    • Folktale
    • Biography
    • Featured
      • Face of the Week
      • Brand of the Week
      • Interview
  • How To
    • Recipe
    • Relationship
    • Fashion
    • Health
    • Food
    • Motivational
    • Inspirational
    • Entrepreneurship
    • Business
    • Technology
  • Entertainment
    • Laugh Out Loud
    • Music
    • Article
    • Interview
    • Album Review
    • Omo Baba Ogunleye
    • Short Story
    • Poetry
  • Self Development
    • Motivational
    • Inspirational
    • Business
    • Entrepreneurship
    • Recipe
    • Interview
    • Biography
    • Relationship
    • Health
  • Literature
    • Competition Entry
    • Article
    • Poetry
    • Short Story
  • Columns
    • Poet Arin
    • Emmanuel Ikoromasoma
    • Omo Baba Ogunleye
    • Communicate Your Transformation
    • Superlight’s Guidelines
    • Janna Onyemaobi
    • De Jakins
No Result
View All Result
WELCOME TO MY WOVEN WORDS
No Result
View All Result

MyWovenWords » MINIMUM WAGE INCREMENT; A RIGHT OR NOT? – OLADELE ABIGAIL

MINIMUM WAGE INCREMENT; A RIGHT OR NOT? – OLADELE ABIGAIL

by Johnson Okunade
March 27, 2020
in Commodity Market, Economics, Economy, Nigeria, Oladele Abigail
Reading Time: 2 mins read
A A
9
minimum wage increment
SHARE THIS POST:

MINIMUM WAGE INCREMENT; A RIGHT OR NOT? – OLADELE ABIGAIL

The agitation of an upward review of the minimum wage is no longer a news to anyone. Most individuals feel it is a lawful demand considering the skyrocketed prices of goods and services and increase in the exchange rate of naira to dollars. To an economist, the argument as to whether the minimum wage increment is a lawful demand or not is debatable.

Minimum wage is the lowest wage permitted by law. it is the price floor below which workers may not sell their labour. The minimum wage was designed to create a minimum standard of living to protect the health and well-being of employees. The minimum wage for each country varies. In Nigeria, there have been no structure about the minimum wage till the association, Nigeria Labour congress (NLC) was put in place in 1978. The president of the association then, was Comrade Hassan Sunmonu.

Nigeria Labour congress (NLC) Logo
Nigeria Labour congress (NLC) Logo

Over the years, there have been controversies concerning the minimum wage. It started in 1979 when there was a rise in the pay of political leaders. Comrade Sunmonu started agitating for a new minimum wage of N300/month but came to an agreement of N125/month. Another negotiation came up led by Comrade Adams Oshiomole and the minimum wage was increased to N250/month. However, in 1989, the military regime then banned the NLC but the minimum wage was increased to N3000. Following a change of government to President Olusegun Obasanjo, the NLC came fully into existence led by Comrade Adams Oshiomole. In 2001/2002, there was a change in the structure, state workers received N5,500 while federal workers and oil-producing states received N7,500 for the minimum wage. The current N18,000 minimum wage was achieved in 2010, due for a review since 2015, was negotiated under NLC President Abdulwahed Omar.

One common feature of this increment is that there have been a nationwide strike leaving most economic activities on hold. For example, the ASUU strike, civil servant indefinite strike e.t.c. This raises an issue to individuals on whether the government is willing to increase the minimum wage or not.

The proponents of this argument claims that an increase in minimum wage will help the economy as it will increase the purchasing power of individuals thereby increasing their standard of living. They also believe that it will bring about increase in worker’s productivity as they will perform at optimum level since they are well remunerated.

Increase in Minimum Wage

The opponents, however gave a different view. They believe minimum wage should not be increased as companies will suddenly have to pay a higher wage or salary to its workers. This has two effects on the economy. The first being that business profit will be affected. If firms pay a higher wage rate, profits will fall. Business firms can then think of increasing the prices of goods and services so as to maintain their profit. However, this flues inflation. If firms don’t want their profits to be affected, they lay off workers since they don’t want to operate at a loss. This leads to unemployment, the second effect.

Economist argued that increasing the minimum wage or not won’t help the economy. if government should increase the minimum wage rate, money supplied into the economy will be increased. The economy will be at disequilibrium, which will bring about increases in price, unemployment, etc. They believe that if government should increase money supply, there must be a corresponding increase in the demand for money. If this isn’t done, an increase in minimum wage will still bring about an increase in minimum wage. The history of increase in wages has proven this.

By Oladele Abigail

Contact me

Instagram: _tijesuni
E-mail: [email protected]
Mobile number: 08163547036

About me
Oladele Abigail, an economics student of Bowen University who applies her passion for writing to her career path.

Please drop your opinion in the comment box below, It really matters.

THANKS A MILLION!

Thanks for visiting My Woven Words; we still write what is right!


SHARE THIS POST:

Related Posts

ELECTRONIC MEANS OF TRANSFERRING ELECTION RESULTS BILL IN THE NIGERIAN ELECTORAL ACT AMENDMENT
Nigeria

ELECTRONIC MEANS OF TRANSFERRING ELECTION RESULTS BILL IN THE NIGERIAN ELECTORAL ACT AMENDMENT

January 14, 2023
Bitcoins - MY WOVEN WORDS
Economics

DIGITAL CURRENCY (BITCOINS) AND THE FUTURE OF NAIRA – OLADELE ABIGAIL

January 7, 2021
BOLA AHMED ADEKUNLE TINUBU: THE FALL OF AN EMPEROR AT LEKKI TOLL GATE
Nigeria

BOLA AHMED ADEKUNLE TINUBU: THE FALL OF AN EMPEROR AT LEKKI TOLL GATE

October 23, 2020
THE ECONOMICS BEHIND BIG BROTHER NIGERIA
Economics

THE ECONOMICS BEHIND BIG BROTHER NIGERIA – BY OLADELE ABIGAIL

October 6, 2020
NAIJA @ 60 THE JOURNEY SO FAR WRITTEN BY DANIEL OBI
Nigeria

NAIJA @ 60: THE JOURNEY SO FAR – WRITTEN BY DANIEL OBI

January 14, 2023
60 MALARIA IN NIGERIA WRITTEN BY OLUWATOBI OLADIPUPO
Guidelines

60: MALARIA IN NIGERIA – WRITTEN BY OLUWATOBI OLADIPUPO

January 14, 2023
DANGOTE, AFRICAN RICHEST MAN HAS A BUILT-IN ADVANTAGE WITH THE NIGERIAN GOVERNMENT
Economics

DANGOTE, AFRICAN RICHEST MAN HAS A BUILT-IN ADVANTAGE WITH THE NIGERIAN GOVERNMENT

January 18, 2023
the lie they told us by Racheal Torty pic - my woven words
Nigeria

LIES THEY TOLD US – WRITTEN BY RACHEAL TORTY

January 14, 2023
ANALYSIS OF NIGERIA MACRO-ECONOMIC INDICATORS - BY OLADELE ABIGAIL
Economics

ANALYSIS OF NIGERIA MACRO-ECONOMIC INDICATORS

July 7, 2020
Load More

Comments 9

  1. Temitope Alö says:
    4 years ago

    Businesses that makes a lot of money in the country without a significant reciprocal contribution to the development of the country should cease to exist. These businesses are zombies. They are vampires that need to be killed by the silver stick. 😠

    Everyone knows that our economy is not an economy at these trying times, so why would businesses try to maintain their profits?

    Everyone should short their rations but shortening these rations should not backfire on the public. Businesses should be able to absolve few negative impacts of the economy since they are not really been pulled out of business entirely. If they can’t, they’re not fit to operate in our country and with all respects if making money is what they’re concerned with only, they should get the hell out of our country.

    Loading...
    Reply
  2. Bukola says:
    4 years ago

    Just in Time

    Loading...
    Reply
  3. Anonymous says:
    4 years ago

    I like your perspective, it’s a legit argument but I disagree that increment in minimum wage may not increase the standard of living. Things are becoming more expensive, rate of dollars to naira skyrocketing,
    I’m of the opinion that the best solution to this is increment in minimum wage!

    Loading...
    Reply
    • Abigail says:
      4 years ago

      Hi
      Thank you!

      I understand your perspective, the minimum wage should be increased. But don’t you think that traders will increase the prices of goods when they find out the wage rate has been increased?
      If the wage is increased, workers will have more money and will want to increase their consumption. Imagine workers who gets 2 unit of a product now getting 4 units due to this increment… The demand will be high!.. With little goods, traders will want to increase the price to make profit, so the increment in wage will be used to fill in the increment in prices.
      Economist therefore says that if there should be an increment in wages , there should also be an increment in production.
      I hope this explains this.

      Loading...
      Reply
  4. Ayomide says:
    4 years ago

    Pelumi this is really cool, keep it up

    Loading...
    Reply
    • Abigail says:
      4 years ago

      Thank you 💞

      Loading...
      Reply
  5. Busayo Aduloju says:
    4 years ago

    Really insightful. Great job Abigail

    Loading...
    Reply
    • Abigail says:
      4 years ago

      Thank you 💞

      Loading...
      Reply
      • Anonymous says:
        1 year ago

        Nice write-up Abigail, God bless you

        Loading...

COMMENT; JOIN THIS CONVERSATION! Cancel reply

Donate

Recent Posts

  • How to Prepare Amora a Typical Tarok Food (Amwam)
  • A Recipe for Masa (Rice Cake)
  • A Recipe For Plateau Food Gote (Gwote) or Acha
  • Langtang: Home of Fearless Tarok Militias and Generals
  • The Tarok People of Langtang, Plateau State, Nigeria
  • Biography of Late Brig-General John Nanzip Shagaya (rtd)
  • Biography of Sir Joseph Ntung Ari, DG of ITF
  • The Biography of General Domkat Yah Bali, The Late Ponzhi Tarok
  • Download Mwaghavul Mu Yaghal Audio Music By Ezra Jinang
  • Download Likitan Likitoci Audio Music by Ezra Jinang
  • Download Plateau Mulkin Sama Audio Music by Ezra Jinang
  • Download Rawan Plateau Audio Music by Ezra Jinang
  • Download One Plateau Audio Music by Ezra Jinang
  • Download Sweet Plateau Audio Music by Ezra Jinang
  • The Biography of Sunday Garba Biggs
  • The Biography of Barrister Caleb Manasseh Mutfwang

Donate

Advertise
advertise with us Woven

Subscribe to Woven TV

KINDLY SUBSCRIBE TO OUR MAILING LIST!

STAY WOVEN!!!

Get our latest updates and exclusive contents on a platter of gold!

We only write what is right

ABOUT US

My Woven Words is an online platform with the sole purpose of promoting and providing quality lifestyle content on a platter of gold. Founded in 2016, today, it is one of the most visited blogs in Nigeria as a great repository of awesome and propelling write-ups.

As of July 2021, My Woven Words Boast of more than 1,500 lifestyle blog posts/articles which makes it a world-class platform where everyone access loads of Historical/cultural content | Poems | Short stories | Contents on Health and Personal Hygiene | Old/Rare Music Download | Isese Music Download | African Folktales | Motivation | Food Recipes | Biographies | Interviews | Relationship Tips, and much more exquisite, best write-up ever. All the contents are verified, detailed, and well-written.

 

Email Us: [email protected]

Call Us: +2349078111978

COPYRIGHT

Copyright © 2021 by My Woven Words: No part of this published blog post and all of its contents may be reproduced, on another platform or webpage without a prior permission from My Woven Words except in the case of brief quotations cited to reference the source of the blogpost and all its content and certain other uses permitted by copyright law. For permission requests, contact the admin on [email protected], or Call him on +2349078111978

 

© 2016 - 2023 My Woven Words - We Only Write What Is Right | Developed by Morrebs ICT

No Result
View All Result
  • Home
  • Favourite
    • Culture
    • History
    • Mythology
    • Folktale
    • Biography
    • Featured
      • Face of the Week
      • Brand of the Week
      • Interview
  • How To
    • Recipe
    • Relationship
    • Fashion
    • Health
    • Food
    • Motivational
    • Inspirational
    • Entrepreneurship
    • Business
    • Technology
  • Entertainment
    • Laugh Out Loud
    • Music
    • Article
    • Interview
    • Album Review
    • Omo Baba Ogunleye
    • Short Story
    • Poetry
  • Self Development
    • Motivational
    • Inspirational
    • Business
    • Entrepreneurship
    • Recipe
    • Interview
    • Biography
    • Relationship
    • Health
  • Literature
    • Competition Entry
    • Article
    • Poetry
    • Short Story
  • Columns
    • Poet Arin
    • Emmanuel Ikoromasoma
    • Omo Baba Ogunleye
    • Communicate Your Transformation
    • Superlight’s Guidelines
    • Janna Onyemaobi
    • De Jakins

© 2016 - 2023 My Woven Words - We Only Write What Is Right | Developed by Morrebs ICT

Sorry, cannot copy or rightclick.

 

Loading Comments...
 

    %d bloggers like this: