Akin Yusuf
It is evident that almost all economies of the world have been affected (though by different degrees), by the on-going global economic recession, although its impact on the developing economies particularly, where business was already slow has been more profound. Of course, it was quite easy for Nigeria to pick up the virus since it’s economy is mono-cultural (depending mainly on the sale of crude oil), which to many is a wasteful commodity, given that we made no input to its location, neither are we part of its exploitation nor pricing. In fact, being an international commodity makes oil susceptible to the vagaries of the global commodity market, meaning that we can only pray and hope that the price remains favourable.
All the same a major outcome of the global economic recession is the fact that economies have shrinked considerably, thereby making life more difficult especially for the low income groups. Given the already deplorable state of labour force in many developing economies, these people now seem to have been completely emasculated by the ravaging effects of the on going recession. For instance, against the backdrop of the dwindling fortunes of the Nigerian economy the standard of living of workers has deteriorated so much over the years leading many to now suggest that unless something is done urgently by employers of labour, there is the tendency of labour embarking on frequent trade disputes (this already is self evident).
It is obvious that Nigerian workers have been overwhelmed with a myriad of problems including poor take-home pay, factory closures, unemployment, fuel scarcity and effects of deregulation policies; even as the country’s pensioners continue to grapple with failed promises of payment of accumulated pensions and gratuity. In the circumstance, the on going economic recession have further brought untold hardship and sufferings to these workers leading to more job losses, frustrating savings and pensions as well as the almost total disappearance of mortgages and housing, all of which have reduced human existence to mere survival.
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To worsen matters, the pay of Nigerian workers, which has hardly changed following market conditions over the years (and particularly those in the public sector), appears to be one of the lowest in the world. Even then, the Nigerian Labour Congress (NLC) has equally argued that while salaries of Nigeria’s workers were increased by only 15% in the last three years, emoluments of public office holders was increased in the last 20 months by up to 800%. Unfortunately, the divestment of government from providing social services, which has further created poverty, unemployment and worsening health conditions for Nigerians have come to compound the already precarious situation.
It is all of these that have led to the frequent labour unrest now evident in most parts of the country. Only last week the Academic Staff Union of Nigeria’s Universities (ASUU) concluded a two-week warning strike, which put government on notice for an impending national strike over working conditions. Before it, the Nigerian NLC had commenced a series of demonstrations aimed at mobilizing support to resist government’s plan to deregulate the oil sector. Several other Unions across the country are either on strike, or have served warning of impending strikes. What this portrays is the daunting task associated with managing labour especially in this period of global economic recession. This is given labour’s persistent demand for better wages and conditions of service and governments inability to meet such demands following the deplorable state of national economies.
Having said that, let me quickly add that labour’s demand for better working conditions is protected under international law. In fact, the International Labour Organization’s Convention 87 and 88 both emphasize the need for workers to freely organize. Unfortunately, many nations including Nigeria that have ratified these treaties occasionally manipulate, through legal and extra legal means, to reduce and in some cases eliminate the rights of workers to organize. But the fact remains that harmonious industrial relations is sine qua non to workers productivity. In other words, (whether in the private or public sectors), employers of labour must ensure sound industrial relations through which the expected goals of an institution, organization or a department are achieved and productivity is satisfactorily sustained over long periods.
Ordinarily the situation in the developed countries in which social security systems are put in place to protect citizens both in and out of employment is ideal. But in the absence of such a system (as is the case with Nigeria), it is also necessary to ensure that workers are motivated through other means. There is no doubt that motivated workers are not likely to be inefficient and ineffective in their assigned responsibilities. It is therefore the responsibility of government as well as other employers of labour to device sustainable means of motivating workers over the long term. Furthermore, government more than ever before must now partner with labour in order to prepare a sustainable framework that identifies innovative short term measures to create employment. Investing in public works for instance, would not only create employment but also empower citizens.
Moderation and high level maturity is required by government, other employers of labour and even labour itself for Nigeria to survive the on-going global economic downturn. It also calls for sacrifice by all, at least in the national interest. Of course, it would be highly unreasonable for politicians and people in government to operate as if there was no problem, while asking labour to make sacrifices. Everybody must be willing to undergo some belt tightening believing that hard times do not last only tough people do
