DIFFERENCE IN WAGES AND SALARIES STRUCTURE IN THE NIGERIA ECONOMIC

CHAPTER ONE

INTRODUCTION

1.1            THE GENERAL BACKGROUND OF THE SUBJECT MATTER

Everyday the problem of a  functional wage and salaries burdens the government the employers and the employee in both the public and private sectors of our economy. wages and salaries questions are the most important of all  terms in any economy.  Not only to they come up most frequently they also take more time to discuss and give rise to the greatest number of disputed this leads to a conflict of interest because while wages are cost to the employer they are income to the workers (employee)

Nigeria workers have not for one day enjoyed a unified salary structure.  In most cases the public sector enjoys a different wage system from that of the private.  Though there have been advancement in compensation theories criteria assumptions techniques relief measures and research into wags and salary scientist have for several years devoted much attention to the study of wage and salary and   have developed variety of theories concerning the level of wage and its determination and role which wages play in the functioning of the economy.

Theories are conditioned they apply.  It is important to note that the techniques of wages and salary structure described and discussed is adopted to the condition existing in the economy to which they apply hence in this project work we seek to study difference in wages and salary structure in the Nigeria economy.  a case study of university of Nigeria teaching hospital (UNTH) Enugu (Health sector)

We shall also look or examine the nature and difference in wages and salary structure especially as they correlate to inter personal relation and productivity of the workers and effort made to depict how best to improve the situation in order to minimize the human relation problems apparent in this organization

The term wage is according to YESUPE  IMT (1982) defined as the   term commonly used for those employees whose pay is calculation according to number of hours worked. He also defined salary as that compensation which is uniform from one pay period to the next and does not depend on the hours worked.

Wages in economic sense means the remuneration for the expenditure of    effort in the production of goods and services (i.e.the prices of labour). Workers believe that they should be paid as much as others doing the same type of job in the same organization.

Therefore the sensitive impact  of differential in wages and salary structure in Nigeria economy demands that the formulation and enforcement of a fair policy should be a matter of central importance at the national level.

PROBLEM ASSOCIATED WITYH THE SUBJECT MATTER

Differential in wages and safaris had cause several problems or that it had led workers so many problems

i.                   It cause dissatisfaction or lack of satisfaction.  For instance  if workers “A” does not earn equal amount with “B” he will be angry with “B” and will not be satisfied with the amount he is been paid.

ii.                 Also deferential does   not earn equal amount with his labourers or surbodinates (workers) have good economy miles to see if they would meet up us economy situation and this will result to restless days and also over working.

iii.              It cause negative productivity. In this case the difference in wages and salaries or worker will have to affect productivity because by worker not receiving the same amount of compensation they will lead to a negative productivity or it will reduce the out put of the organization.

iv.              The difference in wages and salary of workers may lead some workers taking unnecessary risk. This is so because the level of wages paid to works depends on the level rise associated with their job. Due to this so many workers have in one way or the other engaged themselves to so many types of risk in the sense that they went to satisfy their employers.

1.2            PROBLEMS THAT THE STUDY WILL BE CONCERNED WITH

After making use of the UNTH library and with the help of the assistant there we were able to know some of the problems that are responsible for the difference in wages and salaries structure in UNTH and they are as follows.

1.       PROFESSION:   The paramedical personnel from the majority number of staff within the senior staff cadre followed by the doctors then the administrative personnel.  The paramedical personnel showed existing among the health personnel in the same organization, performing almost the same function is demoralizing to them and also affect their productivity and professional relationship in the organization. The administrative personnel are also saying the same thing while most of the medical personnel have high moral because they live to have a different salary structure and also feed supervisor to the   paramedical personnel.

2.       LENGTH OF SERVICE:      From the records we went through we found out that some staff have served in the organization with 1-5years, some 11-15years and so on.

(UNTH JOURNALS 19950).It is taken that this group that have serve more than other are the ones that actually known much about the organization and  current information as regards the organization with their wealth of exposure and  experience.

3.       QUALIFICATION:     According to the records we also understand that wages are commensurate to qualification and experience. Over 80% of medical person agreed that present wages is commensurate to their qualification and experience while about 20% remained indifferent saying that all of them are graduates and are suppose to paid the same amount (UNTH JOURNAL 1995)

1.3            THE IMPRTANCE OF STUDYING THE AREA

This research study into the difference in wages and salary structure in Nigeria economy. a case study of UNTH (Health sector) has one of  its important and that providing valuable knowledge to workers in general and UNTH staff in particular the volume of economy activities as well as the standard of living for the Nigeria working class citizen.

Other benefit that will be derived from this project work are:

1.       To eliminate inequities within UNTH wage structure and also to maintain an equitable labour cost structure which invariable will help to facilitate Nigeria economic development.

2.       Since the impact of wages and salaries review effect the whole national generally this project will also help recommending for parity in the Nigeria institutional system applicable to the whole public sector.

3.       Also this work will help to balance pay with the various prices increase and reduce the frequently of salary review which negates stability and unifies  salary structure.

1.4            DIFINITION OF IMPORTATION TERMS

Paramedical (personnel-having  the status or function auxiliary to that of medical personnel e.g Nurses, Pharmacists, etc.

REFERENCE

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Griffiths. R (1985) Whole Business Institute of Economic Affairs

Murray H. (1965) Whole Business Institute of Economic Affairs.

Institute of Personnel (1984) Continuous Development People and work the Imp Code