Workers Salary Increases, Inflation at Upper Edge

[Doan9269]

Today which is the first day in May to mark the annual celebration of the Workers Day in Nigeria, the president offers to increase the workers salary to all the government employer citizens in the event to mark the workers day celebration.

The Federal Government on Tuesday approved 25% and 35% salary increase for civil servants across various consolidated salary structures. https://punchng.com/fg-approves-salary-raise-for-civil-servants/

If we are to go into a quick recap on the current economic situations of the country as at today, we have the following facts to deduce out.

1. Scarcity of fuel and inflation on the current price to about #1,000 to #1,200 base on location.
2. Incessant increase on market price for products and commodities.

All these are pointing at the instability of the current state of the country economy as inflation has become the order of the day.

A. Do you think the increase in salary structure of all government workers will not lead to more higher inflation level than we already had.

B.. If inflation should persist and we have low GDP from the previous record, we should then expect naira devaluation against dollar the more, some were already speculating $1=#2,000 soon.

[Ambatman]

A.  No, it's not supposed to. If it was an increase in minimum wage then it would have.
The increase is only on civil servants, individuals paid by the government to there's no reason for prices of goods to increase because commercial firms employees are not affected.
If it were then it would be a wage push inflation where the increase in salary are reflected in prices of goods.
Government parasatals are not explicitly created for profit but rendering service to the citizens so it shouldn't have a meaningful correlation with price.
Recall I use it shouldn't
Well this is Nigeria, anything can happen.

B.  Well the inflation is not only in Nigeria but across the world. The government tried in making Naira outperform dollar but with brute force
Not really sure how long it would last. But not only on Naira, Fiat as a depreciating asset will always fall in value as time goes on.
#2000 per dollar is a possibility.

[AVE5]

Increments of salaries or even doing a giveaway to every citizens both work and non workers in the country is not the bone of contentions to rescue the masses on what's going on in the country as a result of the highily inflated high cost of living.
During the time of the past government president Buhari, there was a salary increments for the civil workers and yet they demanded more increases not til date Mr president Tinubu has approved another set of salary increments for them.
In just a short while, the same civil service workers will be in demand for further increments of their salaries and this may seem like they're being greedy or ungrateful but it's apparently because that so high rated amount of money the federal government thinks they're being paid is nothing but a penny that can't even feed their families before a month end where to they'd hope for another salary earning.

The federal government keep acting on illiteracies that can't find what'd be the solution to stable affordable living in the country so that every little earners can be rested upon to atleast be able to afford certain essential commodities such as the consumables which the livings can't do without.

Why'd even the federal government focus more on the welfares of the civil servants? Are they first class citizens of this country? Are others who struggles to make living by themselves and only ask the federal government to do away with the inflation so that they can be able to spend their little hard earned incomes accountably? What a mess 😏.

[Agbamoni]

It's funny to hear that the salary of workers increase by percentage while inflation increases exponentially. Another crazy part is that the government does not increase salaries every year, but inflation strikes every year. I won't be surprised that goods and services will increase soon enough after this information has been disseminated thought every area in the country. I have said this time without number the government do not have solution to our problem. We the masses have the solution to it.

If the government wants to support the workers and make life a little comfortable for them, they should take some certain responsibilities to their hand just like how they do it in the past. Decades ago, if you work in the industrial sector, you are eligible to certain household appliances, provisions and beverages and some other miscellaneous to aid your salary. But currently the government cannot afford to provide all these things for workers because they know they are quite expensive, so they top a little percentage to their salary and expect the worker to fend for themselves.

[Marvelockg]

A. Do you think the increase in salary structure of all government workers will not lead to more higher inflation level than we already had.

B.. If inflation should persist and we have low GDP from the previous record, we should then expect naira devaluation against dollar the more, some were already speculating $1=#2,000 soon.

when the cost of living is increasing in an exponential manner and the salary of civil service personels are constant, there is nothing that's worse off than that.  This move to increasing the salary of civil servant should normally have nothing to do with it affecting our rate of inflation or suggesting that the federal government is doing giveaway to these workers. The reality is that most civil service workers are underpaid and this is why they have resorted to extorting money from people at every opportunity they have at their disposal. While you're setting out modalities to redusing the rate of inflation, you've got to know that no matter the effort you will end up putting, we've gone past that stage where N80k or even N120k is enough for a grown up adult in this country. It's bad a enough that most lecturers aren't earning even up to N200k and you expect them to teach well.

While we still encourage that we make our agricultural product to gain her viability again, it's right we don't leave our civil service personels out of the equation and so I support this increase in the salary structure fully.

[Majestic-milf]

 The question be say as government don say them go approve the increment of workers salaries by a certain percentage, them go really do am? I know say as this news pop up, most workers don dey dey expectant of such a thing happening but make we ask ourselves one thing; with how the country dey dey crippled by debts caused by the exorbitant use of funds by government officials on projects wey we dey seldom seen, this promise fit come to pass? And if it truly come to pass, wetin be the assurance say e go reach every worker
 With how inflation dey bite the nation, cost of goods and services dey choke, e go make any difference if the government increase the percentage?
I no know much about other countries and how their workers dey cope but for here, most able bodied workers dey work more than they earn and all to the benefits of the government because by the time you check how much you spend paying tax and other necessary things like food and the rest, you go discover say nah you end up the loser.
 These days to depend on just one source of income dey risky because you no go fit get any savings and you fit spend half of your life working but nothing to show for it.

[Ever-young]

It's funny to hear that the salary of workers increase by percentage while inflation increases exponentially. Another crazy part is that the government does not increase salaries every year, but inflation strikes every year. I won't be surprised that goods and services will increase soon enough after this information has been disseminated thought every area in the country. I have said this time without number the government do not have solution to our problem. We the masses have the solution to it.

If the government wants to support the workers and make life a little comfortable for them, they should take some certain responsibilities to their hand just like how they do it in the past. Decades ago, if you work in the industrial sector, you are eligible to certain household appliances, provisions and beverages and some other miscellaneous to aid your salary. But currently the government cannot afford to provide all these things for workers because they know they are quite expensive, so they top a little percentage to their salary and expect the worker to fend for themselves.

Na e mk I say the government dem know wetin dey dey do, no be say dem no dey aware of how things dey go round for this country but dey just choose to keep quiet and also to protect their interest because the sense wey the government dey used to provide support for their workers, dey want mk the workers do or provide all the necessary equipment they need, in a way wey be say if the workers request something from dem, dey go first waste time before they bring little or no support, which is bad and the salary too no dey enough, and them go dey comfortable with their decision knowing fully well say e dey really affect us and na make me talk say I no fit work for government dem self,  because of their attitude and all this kind thing no dey encourage our youths them self, e go dey make them to dey corrupt very well, make God just help us for this country.

[Antotena]

I don't support the federal government and I don't support the Nigerian labour congress but I will like us to look at some things here.

The salary increased looks force. They weren't ready to increase the salary of civil servants but the federal government is out time because they have beg labour congress not to embark on strike and promised to make ammendment before the end of April but because things went out of hand like inflation is still on the rise, the dollar rate is still high, they juts have to used style to give a percentage increase and that's why they never announced it as minimum wage, that's a smart move by the federal government.

If federal government has said they have increased the minimum wage to a particular amount, Nigerians are very fond of manipulating the economy especially the marketers, they will sharply increase the price of things in the market and this will increase Nigeria inflation beyond control. I think this is just a temporary thing to ease down labour congress and not to be considered as official because what's by 25%? That's nonsense.

[Coyster]

A. Do you think the increase in salary structure of all government workers will not lead to more higher inflation level than we already had.

Why should it, workers in Nigeria are underpaid and they should be earning far more than what they earn, the Nations minimum wage also has to be increased. The salary raise is a welcome development, but not so great; for example if we go with 25%, then it means someone who was earning a N100,000 now earns N125,000, this is an insignificant amount if you factor in our current economic realities.

That being said, e get crucial areas of our economy that needs sorting out to tackle inflation. Refinery wey dem say go begin work, we never still see anything. We suppose also cut down on government expenditure and also support local businesses/macro economics, etc. No be salary raise dey cause inflation na, it is our terrible policies/bad decision making.

[iBaba]

If federal government has said they have increased the minimum wage to a particular amount, Nigerians are very fond of manipulating the economy especially the marketers, they will sharply increase the price of things in the market and this will increase Nigeria inflation beyond control. I think this is just a temporary thing to ease down labour congress and not to be considered as official because what's by 25%? That's nonsense.

I won't also fall into this increase in minimum wage gimmick. It's all games to create public disturbance and drive away the attention of people from the real economic crisis and hardships people are forcefully made to undergo. The increase in minimum wage is ordinarily a laudable step taken by the government but it's implementation will probably take several months to be effected.

Secondly, owning to the fact that Nigerians are fond of taking advantage of any slight opportunity available to them to skyrocket prices of commodities, may as well increase the prices of food and other products in the shortest time to negatively align with the increment in the minimum wage. Let's not forget that, of the whole population of Civil Servants in Nigeria, there are less than 5% of their population.

What this sentence implies that if the price of things which are most probably going to rise in tandem with the increase of the minimum wage will only cause more damage to the masses especially if government doesn't provide measures to control prices and make do away with the hoarding of goods and opening other ways.

[Miles2006]

If this news is accurate then it’s best cause the price hike on every goods is becoming unbearable but let’s hope increased salaries can withstand with the inflation so every worker and trader will benefit a little even with the inflation. Let’s assume during this time everyone is benefiting who will even complain but despite the inflation there’s no change but I’m still insisting on this salary issue, na naija we dey so we no suppose hope on everything until we see the action but sorry to say I’m doubting if federal government or state government will increase worker’s salary cause if federal government makes a decision it’s left for state government to respect the decision instead of doing something else. The last time I checked GDP and our country development, I observed the employment rate is decreasing every month with large number of population, note inflation in a country is not all about price hike but we should also consider common factors killing the growth of Nigeria for example; the moment newly graduates lack employment it’s considered as poor growth, when there’s inadequate resources to meetup citizens needs with large population it’s considered as inflation cause when the market sector face this issue price will definitely increase

A. Do you think the increase in salary structure of all government workers will not lead to more higher inflation level than we already had.

I can’t really predict concerning this cause when we put our hope on something better we might end up seeing something else na naija for me, inflation can still stand cause increasement on workers salary can’t fight inflation in Nigeria so it’s likely inflation will stand but workers will not feel much impact compared to previous time.

[Mate2237]

The federal government only agree to pay 35% and add it up to he former 30% then the total amount as the minimum wage is 65% and that 65% is not or can't buy one bag of rice so labour chairman is agitating that Federal Government should pay them 615,000 and he gane the breakdown of everything a family of six needed to survive in the country. And they gave the president a deadline May 30th to implement the new minimum wage. As for me the pressure of the Nigerian Labour Congress is not enough. If they have shut down the working force in the country then things would gone back to their normal price and that was what they did in the Goodluck regime.

In addition anytime when the government increases minimum wage because of cost thing then price of things would never go back to their normal stage again instead it will increase the more. Tinubu really disappointed Nigerians. I just pray dat make no win again.