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The Federal Executive Council (FEC) has approved the agreement reached between labour unions in the country and the federal government (FG) to avert the October 3 industrial strike action.
TheNewsGuru.com (TNG) reports FEC gave the approval on Monday, according to the Minister of Labour and Employment, Simon Lalong.
Recall the Nigeria Labour Union (NLC) and the Trade union Congress (TUC) declared October 3 to begin an indefinite strike over the issue of fuel subsidy removal palliatives.
However, following series of meetings by representatives of the FG, including Lalong with the labour unions, the proposed industrial action was suspended.
The decision to suspend the strike followed the agreements reached between the NLC and TUC and government on the provision of palliatives to ease the suffering of Nigerians.
Speaking with state house correspondents, Lalong said FEC gave approval for the agreement and also approved the 30 days implementation timeline.
“Presidential approval was given after analysing the agreement, to provide for industrial harmony.
“Similarly, the 30 days implementation timeline agreed on was also approved by FEC,” the Labour Minister said.
TNG reports the offers made by the Federal Government to suspend the strike include the waiver of VAT on diesel for next six months.
The Federal Government also committed to fast-tracking the provision of Compressed Natural Gas (CNG) buses to ease public transportation difficulties associated with the removal of PMS subsidy.
The parties noted Federal Government’e provisional wage increment of N35,000 for all treasury-paid federal government workers for six months.
The Federal Government also committed to the provision of funds for micro and small-scale enterprises and the payment of N75,000 to 15 million households at N25,000 per month, for a three-month period, from October to December 2023.
TNG reports the FG also agreed to constitute a sub-committee to work out the details of implementation of all items for consideration regarding government interventions to cushion the effect of fuel subsidy removal.
Below is the full highlights of the agreement:
1. The Federal Government grants a wage award of N35,000 (thirty-five thousand Naira) only to all Federal Government workers beginning from the month of September pending when a new national minimum wage is expected to have been signed into law.
2. A minimum wage committee shall be inaugurated within one month from the date of this agreement.
3. Federal Government suspends collection of Value Added Tax (VAT) on Diesel for six months beginning from October, 2023.
4. Federal Government accepts to vote N100 billion for the provision of high capacity CNG buses for mass transit in Nigeria. Provisions are also being made for initial 55,000 CNG conversion kits to kick start an auto gas conversion programme, whilst work is ongoing on state-of-the-art CNG stations nationwide. The rollout aims to commence by November with pilots across 10 campuses nationwide.
5. The Federal Government plans to implement various tax incentive measures for private sector and the general public.
6. On the leadership crises rocking the NURTW and the purported proscription of RTEAN, the Federal Government commits to handling Labour matters in line with relevant ILO Conventions and Nigerian Labour Acts. A resolution of the ongoing impasse is expected by or before October 13.
7. The issue of outstanding Salaries and Wages of Tertiary Education workers in Federal-owned educational institutions is being referred to Ministry of Labour and Employment for further engagement.
8. The Federal Government commits to pay N25,000 per month for three months starting from October, 2023 to 15 million households, including vulnerable pensioners.
9. The Federal Government will increase its initiatives on subsidized distribution of fertilizers to farmers across the country.
10. The Federal Government should urge State Government, through the National Economic Council and Governors Forum, to implement wage award for their workers. Similar consideration should also be given to local government and private sector workers.
11. The Federal Government commits to the provision of funds as announced by the President on the 1st of August broadcast to the Nation for Micro and Small Scale Enterprises. The MSMEs beneficiaries should commit to the principle of decent jobs.
12. A joint visitation will be made to the refineries to ascertain their rehabilitation status.
13. All parties commit to henceforth abide by the dictates of Social dialogue in all our future engagements.
14. The NLC and TUC accept to suspend for 30 days the planned Indefinite Nationwide strike scheduled to begin, Tuesday, the 3rd of October, 2023.
15. This Memorandum shall be filed with the relevant Court of competent jurisdiction within one (1) week as consent judgment by the Federal Government.
The agreement was signed by Minister of Labour and Employment, Minister of Information and National Orientation and the Minister of State for Labour and Employment for the government side.
The president and Secretary General of NLC and TUC signed on behalf of the unions.