Subsidy Removal: Should It be a Condition to Reduce Workdays?

The removal of subsidy on P.M.S (Premium Motor Spirit) is the cause of the lingering hike in fuel prices. In lieu of this workers are gradually cutting down on their workdays. Read also 

Some filling stations are already closed up while the ones running are selling for #600 per liter and above. The price of petrol is about to skyrocket to #700 per liter. Imagine spending a huge chunk of your salary on transport!

On May 29 while delivering his inaugural address, as the 16th elected President of Nigeria, Chief Bola Ahmed Tinubu, disclosed the removal of fuel subsidy.

“Subsidy is gone”, BAT exclaimed. Read also 

He hinted that with the removal of subsidy Nigeria will experience 6% increase in her Gross Domestic Product.

“In economy, we’ll target not less than 6 per cent growth in GDP growth. We’ll do this through budgetary reforms. We’ll use a full range of domestic manufacturing and lessen importation,” Tinubu said.

With the outlook of the economy can it be said that the economy has experienced growth in her GDP since the removal of subsidy?

Come to think of it, transport fare has skyrocket like a jet. Interstate travels are now double the usual prices. For instance the fare from Ibadan to Lagos is now #2500, Ibadan to the city of Adoekiti is now #4000.

This has led to increase in prices of commodities across the country or maybe thanks to the inflation. Naira has fallen at the capital market and is now #950 to $1. The price of a bag of rice now sells #43,000 atleast depending on the brand. Read also 

Staff of government owned establishments are now contemplating reducing their workdays to ease the cost of commuting to their places of work.

Taking the lead is the University of Ibadan Ibadan, Oyo State. On Monday the institution released a memorandum, signed by it’s Registrar and Secretary to Council of the institution, G.O. Saliu, wherein it instructed it’s staff to work for only three days in a week.

“Accordingly, members of staff are now expected to work on-site for three (3) days in rotation per week, with effect from Monday, 14 August 2023. It should, however, be noted that those on essential duties are exempted from this adjustment”, the statement read in part.

This means members of staff are now free to work for only three days instead of the mandatory five or seven days in a week subject to their contract of employment! Wow! This is interesting.

This seems to me a partial/temporary strike before a proper strike. I won’t blame the institution or any other government owned agency that follows suite.

The hike in the price of P.M.S is outrageous and have not only affected workers but also churches. You should have noticed lately that attendance in churches have reduced.

The question is, is it possible for private owned establishments to cut down their number of workdays?

Also the removal of fuel subsidy was a decision of the government and government owned establishments might likely boycott or cut down on workdays if it is becoming unbearable. It doesn’t affect their salaries, for instance in the case of strike actions government staff still receive salaries.

In the case of private owned establishments salaries are paid from earnings realized from daily income compared to public establishments where salaries are paid by the government.

Thus the use of work cutdown by government establishments either as a bait or matter of interest is permissible.