Addressing Inequality Would Boost Economic Growth, Says ASSBIFI | Independent Newspapers Limited
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Labour & Employment, Labour&Industry

Addressing Inequality Would Boost Economic Growth, Says ASSBIFI

Posted: Apr 5, 2016 at 3:00 am   /   by   /   comments (0)

Sylvester Enoghase, Lagos

The Association of Senior Staff of Banks, Insurance and Financial Institutions (ASSBIFI) has stated that addressing the ?ncrease in inequality that has happened in the labour market through flat wages, r?s?ng job insecurity in the past 16 years and increase in involuntary temporary and part-time work would boost economic growth in Nigeria

ASSBIFI’s President, Comrade Sunday Olusoji Salako, who in an exclusive interview with Independent on Monday said: “Tackl?ng these inequality issues, along with more progressive tax policies and strengthened social protection systems in the country, can make an important contribution to ?ncreas?ng economic growth and reducing inequality.

“We call on the Government to adopted a set of policy priorities that would address these ?ssues through the 2016 budget, when given accent to by President Muhammadu Buhari.”

He specifically said: “Investment in infrastructure is equally a proven method of creating jobs in the short term and increasing productivity in the medium term.”

Salako, who argued that reversing the trend of sluggish growth is vital for success of the 2030 Agenda for sustainable development of the Federal Government, including the goal of promoting inclusive growth and decent work for all, called on the nation’s policy makers to address inequality in the labour market as a matter of priority.

He noted that a measure that could be used include strengthening wage-setting mechanisms like minimum wages and collective bargaining that will help to put money into the households that are most likely to spend it, and to increase demand as a result.

Other measures, he said, include promoting better job quality; reducing labour market insecurity and achieving good working conditions and healthy workplaces, which he said are also an important part of the m?x.

“These policies, when given priority to by Government, should promote better employment opportunities for vulnerable groups, particularly for youth, who are at risk of being permanently left behind due to their low skills.

“The labour market policies need to be combined with appropriate monetary and fiscal measures to lift the incomes of lower and middle-income households,” he said.