Concerning the minimum wage and efficiency wage

 The appropriate minimum wage for workers in Nigeria and, naturally, elsewhere is a topic of constant debate. For this reason, the government and labor unions frequently engage in protracted talks.

 Occasionally, it results in threats or actual strikes. It is depressing to learn that some state governments would refuse to pay the agreed-upon minimum wage because they were not participating in the negotiations or there were insufficient finances.

 However, we witness the same administration giving out inflated contracts for road construction, buying pricey official cars that are imported and other inanimate objects, and giving themselves and close allies wages and allowances similar to those of armed robbers.

well before Adam Smith and his associates made the academic decision to divide economics from political economy. The entrepreneur's use of labor exploitation to increase profits is the game.

Karl Marx's surplus labor theory of production or economic growth effectively addressed this issue. Marx condemned the entrepreneurs and capitalists of paying laborers pitiful wages for their labor-intensive efforts and obtaining the residual earnings from the sale of goods through illicit means.

 He called this the surplus value of labor that the entrepreneur has cornered.

Even pro-capitalist economists and capitalists acknowledge the role that labor plays in the production-profit equation. Not a thing is produced without labor. The majority of output in government-owned businesses is not quantified in profits, but in terms of wellbeing, it is not thought to be important to pay workers what is fair. 

Politicians believe that providing workers with fair compensation denies them the chance to appropriate additional funds for themselves. It appears that they view laborers as competitors in the shared national wealth, which is unfair.

Simply put, the minimum wage is the maximum amount of money that an employer is permitted to legally pay employees for labor or tasks completed within a nation. In terms of determining wages,

it is a price floor. It is the threshold below which labor hires ought to be avoided.

 It may be on an hourly, weekly, or monthly basis. Although it is not an efficient salary, in Nigeria, who really cares? What does an efficient wage look like?

Wages for efficiency were a phrase first used by one of economics' founding fathers, Alfred Marshall, to describe, in its original sense, the pay that a person is entitled to for his labors; a worker who is more productive will be paid more than one who is less productive. The current interpretation of the word is that workers' efficiency can be increased through a variety of means by receiving better salaries. This suggests that in order to elicit greater dedication or productivity, companies may consider paying workers more than the average market-clearing or equilibrium salary. As a result, it differs from the lower minimum wage. However, considering the overall poor productivity in Nigeria, that is what both the public and private sectors ought to be aiming for.

of labor in the two industries.

Businesses that pay greater wages have both advantages and disadvantages because their employees may eat more and be better fed and more productive as a result. Employees are incentivized to labor with less supervision when the pay exceeds the equilibrium or market clearing rate. A higher level of employment and national income may result from the increased demand for products and services implied by the increase in consumption. It can lessen corruption in an economy where it is common since employees will be more content and fear losing their employment if they are discovered engaging in corrupt activities. I was informed by a buddy that these kinds of arguments haven't worked with the cops.

Generally speaking, this is because they demand larger denominations of naira on the road in proportion to their salary. We require some empirical evidence to support this.

The government and labor unions in this nation are still arguing over the appropriate minimum wage. It has been N30,000 since 2019 and is currently the same. We are currently in the sixth year of the minimum wage review cycle, which is mandated by law to occur every five years. Despite an increase in cash from the federation account over the past six months and an additional N5 billion provided to them by the federal government, some states have declined to provide the N30,000. Politicians and certain businesspeople in the private sector who care more about their bottom line regard workers with contempt.

of their superior quality of living compared to the existence of slaves earning meager salaries.