Tag: Fuel Subsidy

  • Edo govt increases minimum wage, reduces number of work days

    Edo govt increases minimum wage, reduces number of work days

    In order to cushion the effect of fuel subsidy removal the Edo State Government has increased the minimum wage for workers in the state from N30,000 to N40,000.

    The increment in the  minimum wage was announced via a statement released on Tuesday by Governor Godwin Obaseki.

    The Edo governor also reduced working days from five to three, while the remaining two days will be work from home by civil servants in the state.

    He assured that his administration would stand with workers “in these very challenging times”.

    Obaseki also said his administration would do all within its power to ameliorate the sufferings of residents.

    “As a proactive government, we have since taken the step to increase the minimum wage paid to workers in Edo state from the approved N30,000 to N40,000, the highest in the country today,” the statement read in part.

    It added that “the Edo State government is hereby reducing the number of work days that civil and public servants will have to commute to their workplaces from five days a week to three days a week till further notice. Workers will now work from home two days every week.”

  • Fuel Subsidy removal: What we want FG to do — TUC

    Fuel Subsidy removal: What we want FG to do — TUC

    The Trade Union Congress of Nigeria (TUC) has released demands it made at the meeting held with the Federal Government on Sunday over the recent  fuel subsidy removal.

    In a statement signed by the union’s President, Mr Festus Osifo, and General Secretary,  Mr Nuhu Toro on Monday, the union called for the immediate implementation of the demands.

    It highlighted 14 of the demands for immediate implementation and five for the medium term.

    The demands include maintenance of status quo ante of Premium Motor Spirit (PMS) pump price while discussion continued.

    “Minimum wage should be increased from the current N30,000 to N200,000 before the end of June 2023, with consequential adjustment on cost of feeding allowance, like feeding, transport, housing, among others.

    “A representative of state governors will be party to this communique and all the governors must commit to implement the new minimum wage.

    “Tax holiday for employees both in government and private sector that earn less than N200,000 or 500USD monthly whichever is higher.

    “PMS Allowance to be introduced for those earning between N200,000 to N500,000 or 500USD to 1,200USD whichever is higher, “ it said.

    Others include the setting up of intervention fund where government would be paying N10 per litre on all locally consumed PMS.

    According to the TUC, the primary purpose of this fund is to solve perennial and protracted national issues in education, health and housing.

    “A governance structure that will include labour, civil society and government will be put in place to manage the implementation.

    “Federal Government should provide mass transit vehicles for all categories of the populace.

    “State governments should immediately set up a subsidised transportation system to reduce the pressure on workers and students: the framework around this will be worked out.

    “Immediate review of the National Health Insurance Scheme to cover more Nigerians and prevent out of stock of drugs,” the union said.

    On the medium term, the union called for the deployment of Compressed Natural Gas (CNG) across the country in line with the earlier promise made by government.

    It said that the framework and timeline would be developed and agreed by both parties.

    It also called on labour and government to design a framework that would be geared toward the reduction of cost of governance by 15 per cent in 2024 and 30 per cent by 2025.

    “A framework should be immediately put in place to maintain the road and expand the rail networks across the country.

    “Government must design a framework for social housing policy for workers through Rent to Own System.

    “The state of electricity in the country must be appraised and an action plan should be defined with time lines on how to get this fixed.

    “A strong monitoring team comprising of all parties will be constituted, “ the union said.

  • Subsidy: FG, Labour to meet on implementation framework

    Subsidy: FG, Labour to meet on implementation framework

    The meeting between the federal government and the labour unions ended on Monday with a resolution to reconvene on June 19 to agree on implementation framework on resolutions reached.

    Mr Femi Gbajabiamila, Speaker of the House of Representatives, who led the government side, disclosed this at the end of a meeting between labour and government representatives at the Presidential Villa, Abuja.

    He said that the meeting agreed on a seven point resolution to cushion the effect of the subsidy removal on Premium Motor Spirit (PMS) on Nigerians.

    “The Federal Government, the TUC and the NLC to establish a joint committee to review the proposal for any wage increase or award and establish a framework and timeline for implementation.

    “The Federal Government, the TUC and the NLC to review World Bank Financed Cash transfer scheme and propose inclusion of low-income earners in the programme.

    “The Federal Government, the TUC and the NLC to revive the CNG conversion programme earlier agreed with Labour centres in 2021 and work out detailed implementation and timing,” Gbajabiamila said.

    The News Agency of Nigeria (NAN) reports that the Compressed natural gas (CNG) is a fuel gas mainly composed of methane, compressed to less than 1 per cent of the volume it occupies at standard atmospheric pressure.

    It is the cleanest burning fuel operating today and brings about less vehicle maintenance and longer engine life.

    Gbajabiamila added that meeting also agreed to review issues hindering effective delivery in the education sector and propose solutions for implementation.

    “The Labour centres and the Federal Government to review and establish the framework for completion of the rehabilitation of the nation’s refineries.

    “The Federal Government to provide a framework for the maintenance of roads and expansion of rail networks across the country.

    “All other demands submitted by the TUC to the Federal Government will be assessed by the joint committee.”

    He stressed that the NLC agreed to suspend the notice of strike forthwith to enable further consultations as well as continue the ongoing engagements and secure closure on the resolutions.

    The resolution was endorsed by the Presidents and Secretaries of the NLC and TUC, and Ms Kachollom Daju, Permanent Secretary of Ministry of Labour Employment.

    The federal government had earlier obtained a court order restraining the Labour from embarking on a nationwide industrial action on Wednesday.

  • JUST IN: Court stops NLC, TUC from embarking on strike

    JUST IN: Court stops NLC, TUC from embarking on strike

    Justice O.Y. Anuwe of the National Industrial Court has restrained the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC), from embarking on strike from Wednesday over the removal of fuel subsidy.

    The federal government had asked the court for an interim injunction restraining the labour unions from proceeding on the strike scheduled to begin on Wednesday.

    Delivering the ruling on Monday, Anuwe, the presiding judge, said the unions should halt the planned strike pending the hearing and determination of the ex parte motion filed by the federal government.

    Details later…

     

  • Fuel subsidy: Judicial workers declare nationwide strike

    Fuel subsidy: Judicial workers declare nationwide strike

    Judiciary Staff Union of Nigeria (JUSUN), has announced that it has joined industrial action over the removal of fuel subsidy.

    Recall that the Nigerian National Petroleum Corporation Limited (NNPCL) had increased the price of fuel per litre from N197 to between N488 and N570 across the country.

    The Nigeria Labour Congress (NLC) had subsequently declared nationwide strike, with effect from Wednesday, June 7.

    In a statement issued by JUSUN’s General Secretary, M.J. Akwashiki, directed all branches and chapters of the union to begin nationwide mobilisation and withdrawal of service from Wednesday.

    “This followed a decision of the National Executive Council (NEC) of the Nigerian Labour Congress (NLC) at her meeting on 2nd June, 2023 over the increase in the pump price of the Premium Motor Spirit (PMS) by the Federal Government through the NNPCL,” he said.

    “All zonal vice presidents are to coordinate their zones by ensuring that branch and chapters chairmen mobilise their members for a total compliance.”

     

     

  • Fuel Subsidy Removal: Kwara reduces work days from five to three

    Fuel Subsidy Removal: Kwara reduces work days from five to three

    Following the removal of fuel subsidy, the Kwara state government has tried to cushion the effect on its workers by approving a temporary palliative measure for them.

    One of the measures is to reduce work days from five to three days.

    This was made known by the Head of Service, Mrs Susan Modupe Oluwole via a statement through her spokesman, Murtala Ayotebi in Ilorin, Kwara state capital

    Oluwole said: “The State Governor, Mallam Abdulrahman Abdulrazaq, has directed that the workdays be reduced from five days to three days per week for every worker.”

    She directed all heads of Ministries, Departments and Agencies (MDAs) in the state to immediately work out a format indicating the alternating work days for each worker under them.

    The Kwara State Head of Service warned the workers not to abuse the magnanimity of the governor, stressing that the regular monitoring of MDAs by her office would be intensified to ensure strict compliance.

  • The strike will go on as planned – NLC

    The strike will go on as planned – NLC

    The Nigeria Labour Congress, (NLC), has again assured Nigerians that the proposed industrial action slated for Wednesday, June 7 will go on as planned if situations surround Fuel subsidy removal remains unchanged.

    NLC noted that the only reason the strike will not hold is if the Federal Government and the Nigeria National Petroleum Corporation Limited NNPCL revert to status quo on the fuel subsidy removal issue.

    The body made this known via a statement by its Head of Information and Public Affairs on Sunday, Benson Ubah.

    The workers’ body was reacting to a story in a national newspaper on Sunday.

    It described the report as laughable and desperate attempt by enemies of the people to polarise Nigeria Labour Congress along ethnic or regional lines on an issue with a national spread.

    According to Upah, “this scenario only plays in their imagination as Nigeria Labour Congress continues to be the biggest pan-Nigerian organisation united by a common vision/ mission and shared national values.”

    “On the looming strike, we want to assure that all the affiliate unions of the Congress stand together with an unshakeable resolve to prosecute, come Wednesday, except the NNPC and Government do the needful.

    “Whereas, primordial sentiments such as religion, region or ethnicity may be refuge for some, at the Nigeria Labour Congress, they have no place. What counts for us are issues such as the mindless and criminal increase in the pump price of pms whose burden will be borne by the already impoverished communities of the poor across Nigeria,” it stated.

    NLC said the burden of the malevolent policy would not be borne by other segments of the country to the exclusion of the North or South-West, hence, there is no reason for those regions to back out of the strike.”

    Recall that the President, Bola Tinubu had during his inaugural speech declared that the era of subsidy for petroleum products was gone, a development that has had ripple effect on the Nigerian polity since May 29, 2023.

    Former President, Buhari only made provision for subsidy till June 2023 arguing that it was no longer sustainable to subsidize fuel in the country.

  • Fuel subsidy removal: TUC presents list of demands to FG

    Fuel subsidy removal: TUC presents list of demands to FG

    The Trade Union Congress (TUC) has presented its list of demands to the federal government to cushion the effect of petrol subsidy removal on citizens.

    TheNewsGuru.com (TNG) reports the TUC demanded for increase in the minimum wage, tax holiday for certain categories of people as well as reverting to status quo for negotiations continue.

    Recall that a federal government delegation held a meeting with representatives of organised labour, excluding the Nigeria Labour Congress (NLC), at the presidential villa, Abuja, on Sunday night.

    Dele Alake, spokesperson for the government’s delegation to the meeting, told state house correspondents after the meeting that most of the demands “are not impracticable”.

    “We said we were going to reconvene to keep the engagement on to defuse the tension in the land as a result of the withdrawal of subsidy, which is a reality.

    ”Now we are very happy to announce to Nigerians that this engagement has been very productive and the TUC that attended today’s meeting presented a list of demands, which we have studied and we are going to present to the President for his consideration.

    “But we can announce to Nigerians that a lot of the items on the TUC list are not impracticable,” Alake said.

    While the government acknowledged the feasibility of the demands, they said the demands would be presented to President Bola Tinubu with immediate effect.

    Alake said the president’s decisions will be relayed to labour leaders at the next round of negotiations fixed for Tuesday.

    Asked if the other demand by the organised labour that the new pump price of petrol be reversed pending conclusion of negotiations, Alake said the decision would likely be taken on Tuesday when both sides meet again.

    On NLC’s absence, he said it may be attributed to the inability to finalise with the NEC of the union before the meeting.

    Nonetheless, negotiations will continue with all labour unions and stakeholders, he said.

    Speaking to journalists, Festus Osifo, TUC president, said while some progress has been made with the negotiations, the union would still brief its members ahead of Tuesday’s meeting.

    “We were here on Wednesday last week and after that meeting, the government gave us its position; telling us why they did what they did. So, on our part we did not agree with them so they presented some things they considered as palliatives but we told them we were going back to discuss with our respective organs.

    “So, we summoned the National Executive Council (NEC) of the Trade Union Congress of Nigeria on Friday and at that meeting, the NEC mandated us with a list of demands to present to the government, which we did today.

    “Part of those demands is to increase the minimum wage and they have also told us that they need to present these demands to the President so that we will reconvene on Tuesday. Topmost of our demands is that for utmost good fate and in the interest of social dialogue, they should revert the pump price while discussions continue,” Osifo said.

  • Don’t turn fuel subsidy removal into politics – Gov Sanwo-Olu tells NLC

    Don’t turn fuel subsidy removal into politics – Gov Sanwo-Olu tells NLC

    Lagos State Governor Babajide Sanwo-Olu has appealed to the Nigeria Labour Congress (NLC) not to turn the issue of fuel subsidy removal into a political one.

    TheNewsGuru.com (TNG) reports Governor Sanwo-Olu appealed to the NLC on Sunday while speaking to newsmen after a post-inauguration thanksgiving service at the Cathedral Church of Christ, Marina, Sanwo-Olu.

    Sanwo-Olu also appealed to the NLC to shelve its nationwide strike being planned to protest against the fuel subsidy removal, stressing ”this is not the time to go on strike”.

    The thanksgiving service signified the end of activities to mark the governor’s second term inauguration.

    His wife, Dr. Ibijoke Sanwo-Olu, Deputy Gov. Obafemi Hamzat and the wife, Mrs Oluremi Hamzat, ere also at the event.

    Sanwo-Olu said that going on strike would neither address nor resolve any issue.

    According to him, subsidy removal is in the interest of all Nigerians, hence, the need to support President Bola Tinubu to run the affairs of the country creditably.

    ”This is not the time to go on strike. Recall that all presidential candidates said the first thing they will do is remove fuel subsidy. So, what has changed? What has President Bola Ahmed Tinubu said or done that is different from what others would have done?

    ”The president has not even spent one week in office. We need to be very patient and reason together. Let us not make the issue about politics, but let’s support this man. We should allow him go and reflect.

    ”Strike will not resolve anything, it won’t address the issue. The point should be how to ensure a sustained turn around in our economy. The president mentioned better ways, and we started that in Lagos in January, and I hope other states can key into it.

    ”We don’t need to wait for the national government, we just need to reflect on what the challenges are in the country and seek ways to resolve them.

    ”So I plead with the NLC not to turn the subsidy issue into a political one. The leadership should know they are leading people and so there is need to restrain themselves.

    ”Let us be patient and work with the president. NNPC has said it has more than enough fuel to go round, so there is no need to heat up the polity. We should not get political because it is governance, and the people must see purposeful governance,” he said.

    The governor urged the labour leaders to join hands with the present administration at the federal level and be patient with the President, in his commitment to turn the economy around and make Nigeria a better place for all.

  • No time is ‘right time’ to remove fuel subsidy – By Ehichioya Ezomon

    No time is ‘right time’ to remove fuel subsidy – By Ehichioya Ezomon

    Karma – loosely refers here as nemesis or retributive justice – connotes “cause and effect” in Indian religions; “measure for measure” in Judaism; “one reaps what one sows” (Galatians 6:7) in Christianity; and “what goes around comes around” in Western culture.

    Essentially, Karma, as a “concept of action, work, and deed, and its effect or consequences,” isn’t a respecter of persons, no matter their status or station in life.

    This is what President Bola Tinubu is about to be visited with, barely one week after his epochal inauguration as 16th Commander-in-Chief of the Armed Forces of Nigeria on May 29.

    The organised labour has served notice of a nationwide strike to protest Tinubu’s announced removal of fuel subsidy from the economy, beginning in July – but oil marketers have marked up pump price to about 300% of subsisting official price of N175 per litre.

    Tinubu, as a leading opposition figure, had railed against President Goodluck Jonathan’s removal of fuel subsidy in 2012, which led to “Occupy Nigeria” street protests across the country, and in front of the Nigerian High Commission in London, United Kingdom.

    On January 1, 2012, the Petroleum Products Pricing Regulatory Agency (PPPRA) issued a statement on removal of subsidy on petroleum products, with a 120% increase in pump price of petrol.

    Reacting to the government action that ruined the New Year celebrations for Nigerians, the “Occupy Nigeria” movement – spearheading the protests – used the opportunity to highlight corruption in government and the public service, inhuman treatment of Nigerians by government and security agents, and high rate of poverty in the land.

    According to Wikipedia, the protests that lasted 12 days (January 2-14, 2012) were defined by “civil disobedience, civil resistance, strike actions, demonstrations and online activism,” aimed at “reversing the subsidy on petroleum products, and a review of the Federal Government budget, with cut-backs on politicians’ allowances.”

    By the time President Jonathan was forced to reverse the decision, 16 people were reportedly killed by the Police in several states.

    In a January 8, 2012, lengthy article, entitled: “Removal of Oil Subsidy: President Jonathan breaks social contract with the people,” as published in guardpost.ng, Tinubu queried the timing of the subsidy removal, Jonathan’s non-consultation with relevant stakeholders, and the ripple effects on the voters and the economy at large.

    Let’s take some extracts from the opinion piece, and consider if Tinubu followed his observations and recommendations therein, to declare on May 29 that, “subsidy is gone,” during his inaugural speech. He wrote:

    “As Nigerians gathered with family and friends to celebrate the New Year, the federal government was baking a national cake wrapped in a scheme that would instantly make the New Year a bitter one.

    “Barely had the public weaned itself from last year when the government dropped a historic surprise on an unsuspecting nation. PPPRA issued a statement abolishing the fuel subsidy. By this sly piece of paper, the federal government breached the social contract with the people.

    “The government, which owes its very existence to the people’s desire to be governed by someone more humble than elitist, has turned its back on the collective will.

    “By bureaucratic fiat, the government made the most fateful economic decision any administration has made since the inception of the Fourth Republic and it has done so with an arrogant wave of the hand as if issuing a minor regulation.

    “Because of the terrible substance of the decision and the haughty style of its enactment, the people feel betrayed and angry. At this moment, we do know not where this anger will lead.

    “In good conscience, we pray against violence. Also in good conscience, it is the duty of every citizen to peacefully demonstrate and record their opposition to this draconian measure that is swiftly crippling the economy more than it will ever cure it.”

    Continuing, Tinubu descended on Jonathan, saying: “This crisis will bear his (Jonathan’s) name and will be his legacy. The people now pay a steep tax for voting him into office. The removal of the subsidy is the ‘Jonathan tax.’

    “The situation shows that ideas count more than personalities. People may occupy office but how that person performs depends on the ideas that occupy his mind.

    “Though someday, Nigeria will have to remove the subsidy, the time to do it is not now. This subsidy removal is ill-timed and violates the condition precedent necessary before such a decision is made.

    “First, the government needs to clean up and throw away the salad of corruption in the NNPC.Then, proceed to lay the foundation for a mass transit system in the railways and road network with long-term bonds and fully develop the energy sector towards revitalizing Nigeria’s economy and easing the burden any subsidy removal may have on the people.”

    Fast forward to May 29, 2023. It’s a reversal of roles between President Tinubu and the organised labour: He issuing off-the-curf declaration – as he’d accused Jonathan of doing in 2012 – and the labour unions reacting as he did in his epistle to slam Jonathan’s subsidy removal.

    Tinubu simply proclaimed that, “subsidy is gone,” without much thought to the effects the policy would have on the voters that gave him the mandate to realise his “lifelong ambition” to be President of Nigeria.

    All Tinubu accused Jonathan of doing is what he blatantly exhibited as the new Sheriff in town at his inauguration on May 29.

    Indications point to the President taking Nigerians for a ride, and only embarking on dialoguing with labour to fulfill all righteousness.

    Despite his holier-than-thou posturing in 2012, Tinubu had made up his mind to remove fuel subsidy, even as President Buhari’s government aided the course by not providing for subsidy beyond June 2023.

    For the record, the three main contenders in the February 25 presidential poll: Tinubu of the APC, former Vice President Atiku Abubakar of the PDP, and former Anambra State Governor Peter Obi of Labour Party campaigned to remove fuel subsidy.

    Tinubu said it wasn’t sustainable  and had to go, “no matter the protest” by Nigerians; Atiku said he would remove the subsidy, and also sell off the NNPC Limited; and Obi described the policy as “organised crime,” and pledged to remove it on day one of his administration.

    Now, the President, as a minority,  has had his say; will he also have his way with the organised labour, as he literally stares down the gun’s barrel till Wednesday, June 7?

    “Return petrol to old pump price or face nationwide action,” the President of the Nigeria Labour Congress (NLC), Comrade Joe Ajero, roared on June 2 after a meeting of the union’s National Executive Council in Abuja, following a deadlocked parley with government.

    Accusing the NNPCL of lacking the monopoly to fix fuel price (at N488 to N500 per litre, depending on the zone of the country) even as a private company, Ajero said labour would embark on strike if the NNPCL failed to revert to the original template.

    “Consequently, NLC has decided that if by Wednesday, the NNPCL, a private Limited Liability Company, that illegally announced the price regime in the oil sector, refuses to revert itself for negotiation to continue, the Nigeria Labour Congress and its affiliates will withdraw their services and commence protest nationwide until this is complied with.”

    Will President Tinubu succumb, and flip-flop like his predecessors, who didn’t possess the political will to tame the fuel subsidy that gulped N13.7trn in 15 years (figures supplied by Nigeria Extractive Industry Transparency Initiative (NEITI)), with most of the scarce revenue funnelled into the pockets of oil crooks?

    Tinubu says he’s going to be different, and Nigerians wait with baited breath to see how strong he’s to grab the fuel subsidy bull by the horns, and land it on its side to surrender. Good luck to the President!

     

    Mr Ezomon, Journalist and Media Consultant, writes from Lagos, Nigeria.