Nigeria Labour Congress (NLC) President Joe Ajaero has warned that introducing a N1 million minimum wage without addressing the underlying economic challenges could destabilise the Nigerian economy.

Ajaero made the remarks during an interview on Channels Television on Thursday, amid discussions between the labour union and the Federal Government over a possible minimum wage review.

He said the priority should be to reduce the cost of living and strengthen the purchasing power of the naira, rather than focusing solely on increasing workers’ salaries.

“N1,000,000 minimum wage will collapse the Nigerian economy,” Ajaero stated.

The labour leader’s comments come amid rising fuel prices and growing living costs, which have continued to put pressure on workers’ incomes.

The Federal Government recently approved a N70,000 transport allowance for workers to help ease the impact of rising transportation costs.