N494,000 minimum wage will lead to inflation, destroy Nigerian economy – Reno Omokri 

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Socio-political analyst Reno Omokri has weighed in on the new minimum wage demands by organised labour unions, which have led to the ongoing nationwide industrial action.

The ongoing strike, spearheaded by the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), is due to the federal government’s failure to increase the minimum wage offer above N60,000 and reverse the hike in electricity tariffs.

During negotiations, the TUC and NLC asked the federal government to enact a new minimum wage of N494,000.

However, on his X page on Monday, the former aide to President Goodluck Jonathan said that if the federal government accepted the new minimum wage, it would lead to unprecedented inflation that would devastate the country’s economy and turn the nation into another Zimbabwe or Venezuela.

He said, “₦494,000 is more than sixteen times the current minimum wage of ₦30,000. If the Federal Government accepts that as the new minimum wage, and Nigeria’s production capacity does not also increase times sixteen, it will lead to the mother of all inflation that will destroy the Nigerian economy and turn us into Zimbabwe and Venezuela. 

“If producers of goods and services, like Dangote, Indomie, Nestle, Flour Mills of Nigeria, Glo, petrol stations, etc, have to pay their staff a minimum of ₦494,000, what do you think they will charge for their products? You, as a worker, will be jumping from the frying pan to the fire.”

Mr Omokri added that the NLC President, Joel Ajaero, and his associates are not economists. Even worse, they are supporters of Labour Party Presidential candidate Peter Obi.

“They endorsed him during the election. They campaigned for him. They defended him. Please assume I am a liar and fact-check me. They are fighting a proxy war for Peter Obi. Obviously, the 2027 election is affecting their direction. They do not have an economic agenda. They have a political objective. 

“If the Federal Government should give in to their outrageous demands, it is you who will suffer. Ajaeeo is not poor. He has money. He travels abroad in style. He can relocate his family. It is you and your family that will bear the brunt of this politician in labour union clothes.”