The Centre for the Promotion of Private Enterprise (CPPE) has called for a shift in labour advocacy from a narrow focus on wages to a broader, more comprehensive framework for workers’ welfare. 

Muda Yusuf, chief executive officer of CPPE, in a statement in Lagos on Thursday, said this would yield more meaningful and sustainable welfare outcomes for the Nigerian workers.

He noted that while wage increments were necessary amid rising inflation and cost-of-living pressures, they are insufficient as a standalone strategy for improving workers’ welfare.

According to him, in an economy characterised by persistent inflation, structural bottlenecks, and weak public service delivery, nominal wage gains are often quickly eroded.

“Nigeria’s inflationary environment, largely driven by rising food, energy, and transportation costs, has significantly weakened household purchasing power, particularly among low- and middle-income earners.

“Food and transport account for a substantial share of household spending, while rising housing and energy costs, alongside limited access to affordable social services, continue to strain disposable incomes,” he said.

Mr Yusuf identified key non-wage welfare priorities, including cost-of-living management, healthcare access, pension security, job stability, energy costs, transport, housing, skills development, social protection, and taxation.

On cost-of-living pressures, he called for structural interventions to address rising food prices, transport fares, and housing costs.

Mr Yusuf called for structural interventions in mass transit investment, policies to boost agricultural productivity, and measures to moderate rental pressures.

He also recommended the provision of subsidised staff canteens by medium and large organisations.

On healthcare, the CPPE boss urged expanded coverage under the National Health Insurance Authority and stricter enforcement of employer-provided health insurance schemes to reduce out-of-pocket expenses.

He also called for improved pension compliance, expansion of micro-pension schemes for informal workers, and sanctions against defaulting employers to strengthen retirement security.

Addressing labour market concerns, Mr Yusuf decried the growing prevalence of casualisation and contract employment, adding that it had weakened job security and labour protections.

He advocated stronger regulatory frameworks, improved enforcement, and the introduction of unemployment insurance schemes.

On energy, he noted that high electricity tariffs and reliance on generators had increased the financial burden on workers, urging improvements in power supply reliability and a more efficient tariff regime.

Mr Yusuf also emphasised the need for investment in affordable mass transit systems and policies encouraging employers to provide staff transportation to reduce commuting costs.

On housing, he called for expanded affordable housing schemes and reforms to mortgage financing to ease the burden on workers.

He also underscored the importance of skills development, vocational training, and public-private partnerships in enhancing productivity and long-term income prospects.

Mr Yusuf further advocated for the institutionalisation of mechanisms such as inflation-linked wage adjustments and cost-of-living adjustments to ensure more predictable and sustainable wage reviews.

He stressed that labour welfare policies should prioritise the protection of real incomes rather than nominal wage growth.

“Nigeria’s current economic realities demand a fundamental rethink of labour welfare strategy.

“While wage increases remain important, they are clearly inadequate in isolation.

“A broader and more strategic focus on cost-of-living reduction, social protection, job security, and improved public service delivery will yield more meaningful and sustainable welfare outcomes,” he said.

(NAN)