Despite increase in salaries, workers are poorer now – Oshiomhole

Former Edo State governor and current Senator, Adams Oshiomhole, has voiced strong criticism against wage exploitation in Nigeria, asserting that inadequate worker compensation undermines national security and economic productivity.

His comments came during a Distinguished Personality Lecture organized by the National Institute for Security Studies (NISS) in Abuja on Wednesday.

The lecture, themed “National Minimum Wage: Reward System and Productivity in Africa,” was part of the Executive Intelligence Management Course (EIMC 17), designed to explore the connection between wages, security, and productivity.

Oshiomhole argued that despite the recent increase in Nigeria’s minimum wage, workers are struggling more financially than before. He emphasized that poor compensation not only traps workers in cycles of economic hardship but also leaves them vulnerable to manipulation and radicalization, posing risks to national security.

Highlighting the link between fair wages and economic growth, Oshiomhole stated, “Workers face fluctuating salaries and job insecurity, as employers can easily hire and fire employees.” He urged that fair wages are critical for boosting workers’ motivation, efficiency, and the overall economic stability of the country.

“Despite paying union dues, workers often receive minimal support from trade unions, leading to questioning their effectiveness.

“Historically, the right to organise was suppressed, which limited workers’ ability to negotiate collectively. Industrial sabotage emerged as a form of protest against poor conditions.

“Collective bargaining and the right to strike are essential tools for negotiating fair wages and working conditions. Workers often resort to ‘work to rule’ when rights are restricted.

“Significant disparities exist between minimum and maximum wages across sectors, leading to dissatisfaction among workers. The wealthy often benefit from state protection, while the poor struggle.
“The minimum wage is designed to protect vulnerable workers but is often not enforced. Setting minimum wages too high can risk job losses while setting them too low can lead to exploitation.

“Inflation severely impacts purchasing power, making it difficult for workers to maintain a decent standard of living. Historical comparisons show that many workers are poorer now than in the past, despite nominal wage increases.”

The Director-General of the Department of State Services, DSS, Adeola Ajayi, echoed Oshiomhole’s concerns, noting that better wages reduce workers’ vulnerability to abuse and promote national stability.

In his remarks, Joseph Odama, Commandant of NISS, lauded Oshiomhole’s long-standing commitment to labour advocacy, emphasizing the importance of fair wages in ensuring sustainable development.

He said: “The national minimum wage is a pressing issue in our economic discourse today, affecting millions of Nigerians and influencing both individual lives and national productivity.

“A well-designed reward system can drive worker motivation, improve efficiency, and promote economic growth, while poorly structured policies can demoralize the workforce.

“To aim for a more equitable society, it is essential to understand the complex relationship between wages, rewards, and productivity.”