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Tag: new minimum wage

  • FULL LIST: Governors paying above N70,000 minimum wage

    FULL LIST: Governors paying above N70,000 minimum wage

    Rivers Governor Siminalayi Fubara on Friday approved the payment of N85,000.00 as the new minimum wage for civil servants employed by the Rivers State Government.

    This agreement was reached during a closed-door meeting presided over by the Governor, attended by representatives of organised labour under the auspices of the Joint Public Service Negotiating Council in the state at Government House in Port Harcourt on Friday.

    Earlier, Lagos and Delta States promised to pay N85,000 and N77,500 as the minimum wage for their workers.

    President Bola Tinubu in July, 2024 signed the new N70,000 minimum wage bill into law, ending months of deliberations between government representatives, labour unions and the private sector.

    While a number of governors have pledged to meet the N70,000 minimum wage, others have gone further, committing to pay amounts higher than the federal mandate.

    Here are Governors ready to pay above N70,000 minimum wage:

    1. Governor, Siminalayi Fubara (Rivers State)

    On October 18, 2024, Rivers State Governor, Siminalayi Fubara, approved the payment of N85,000.00 as the new minimum wage for civil servants employed by the State Government.

    Read Also: N85,000 minimum wage demonstration of Sanwo-Olu’s commitment to workers’ welfare – Lagos TUC

    2. Governor Babajide Sanwo-Olu (Lagos State)

    On October 16, 2024, Governor Babajide Sanwo-Olu announced a new minimum wage of N85,000 for Lagos State workers, N15,000 above the federal minimum. He cited the high cost of living in Lagos as a factor and expressed a goal to raise the minimum to N100,000 by January 2025.

    3. Governor Dapo Abiodun (Ogun State)

    Governor Dapo Abiodun approved a minimum wage of N77,000 on October 15, 2024, according to a statement by the Secretary to the State Government, Tokunbo Talabi.

    4. Muhammad Yahaya (Gombe State)

    Gombe State governor, Muhammad Yahaya signed an agreement with the Nigeria Labour Congress to pay ₦71,500 as the new minimum wage on October 15, 2024.

    5. Lucky Aiyedatiwa (Ondo State)

    On October 12, 2024, Governor Lucky Aiyedatiwa announced a minimum wage increase to N73,000 for state workers during his campaign kickoff ahead of the November 16 governorship election.

    6. Ahmed Ododo (Kogi State)

    Kogi State Governor, Usman Ododo, approved N72,500 minimum wage for civil servants in the state with immediate effect. The governor also suspended the tax burden on the approved sum for one year.

  • FULL LIST: 16 States set up minimum wage committees

    FULL LIST: 16 States set up minimum wage committees

    Sixteen Governors have set up committees to implement the N70,000 new minimum wage for workers across the country.

    The Federal Government commenced payment of the new minimum wage to its 1.2 million workers last Thursday.

    The Accountant General of the Federation, Oluwatoyin Madein, in a memo to the Budget Office of the Federation, noted that the civil servants would be paid the minimum wage with effect from September.

    Read Also: Uncertainty in states over new minimum wage take-off

    Edo, Lagos and Adamawa States have also commenced payment of the new salary while Abia and Anambra are to commence payment in October.

    Here is a list of States that set up minimum wage committees

    1. Ogun

    2. Ekiti

    3. Sokoto

    4. Kebbi

    5. Osun

    6. Enugu

    7. Borno

    8. Zamfara

    9. Kogi

    10. Kwara

    11. Gombe

    12. Kano

    13. Taraba

    14. Delta

    15. Rivers

    16. Jigawa.

  • Uncertainty in states over new minimum wage take-off

    Uncertainty in states over new minimum wage take-off

    • SSANU lament delayed implementation of minimum wage

    Public sector employees in many of the 36 states are still in the dark as to when they will begin to receive the new minimum wage despite the recent release of the template for the salary structure.

    Agreement on Consequential Adjustments in Salaries for Civil Servants was only reached on September 20 by the committee charged with the responsibility.

    Many of the state governments had attributed non implementation of the new dispensation to the delay on the federal government’s part.

    However, public servants at the federal level have begun enjoying the new wages following the release of the template.

    Reports from the states at the weekend showed that not much seemed to be happening yet on when state workers would start receiving the new package.

    The Plateau State Government said it was checking its financial status to see what it could do about paying the new salary structure.

    Information Commissioner Musa Ashoms told The Nation by phone in Jos that the issue for the state was beyond the FG template.

    Read Also: Shettima at UNGA

    He said the state had to assess its financial capability first before deciding what it could pay.

    Ebonyi awaiting report on minimum wage – Commissioner

    Ebonyi State Government has said it is still waiting for the report from relevant authorities on the new minimum wage in the State.

    But Information Commissioner Jude Okpor assured civil servants that the new wage regime would come into effect as soon as the state government got the report,

    According to him, all the relevant ministries and line agencies are cooperating to meet up with the directive of Governor Francis Ogbonna Nwifuru, and no stone would be left unturned to ensure a better living standard for the citizens.

    He said: “The Head of Service was asked to compute the cost implications of implementing the new National Minimum Wage. The Governor directed that as soon as the process is completed or concluded before the end of September 2024, the state will commence the implementation of the new minimum wage in September.

    “It is important to note that the state is still awaiting the report of the relevant authorities saddled with the responsibility but as soon as they do that, the governor is still ready to commence with the implementation.

     “We believe that the report will soon be on the front burner in no distant time.”

    Kwara committee still working

    The Kwara State Committee on the wage issue is also still working, according to the local chairman of the Trade Union Congress (TUC), Alhaji Olayinka Onikijipa.

    “The committee’s  meeting is still ongoing,” he said in a text message to The Nation.

    No date yet for payment in Ondo

    Ondo State Governor Lucky Aiyedatiwa is said to have asked the Technical Committee on Minimum Wage to expedite action and submit its report to enable government commence statement.

    Information and Orientation Commissioner Akinlosotu Wale said action on payment would commence as soon as the committee concluded its assignment.

    A meeting of the  Ondo Joint Negotiation Council presided over by Comrade Olapade Ademola Adeniji, had constituted the committee to carefully review, analyse, and come up with different salary tables after comparison with other states.

    The committee which comprises representatives from various sectors, is to ensure that every worker’s perspective is taken into consideration.”

    Akinlosotu stated that the Governor would match his words with action on the minimum wage.

     Abia to commence payment in October

    The Abia State Government said its workers will begin to receive the new minimum wage with effect from next month.

    Information Commissioner Okey Kanu said that the new minimum from the state government “will cut across all categories of workers in the state.”

    The chairman of the state chapter of the Nigeria Labour Congress (NLC), Comrade Okoro Ogbonnaya, had vowed that the union would  not accept any decision by Governor Alex Otti to pay anything less than N70,000 minimum wage approved by the federal government.

    Comrade Ogbonnaya, reacting in a telephone interview with our correspondent, said their stand on the payment offer ₦70,000 minimum wage to workers on level 1 step 1 was sacrosanct.

    According to the state NLC boss, what the leadership of the NLC in the state will be discussing with the state government as they continue with the ongoing negotiation is the consequential adjustment of the payment of the minimum wage as it affects civil servants on other grade levels.

    He said: “Between now and the end of October, by His grace, we will finish the negotiation and everything will fall in place.

    “As we speak, we are just coming back from the NLC leadership training concerning the ₦70,000 minimum wage and the negotiation process.

    “Any moment from now, we will write government officially for us to discuss the consequential adjustments that will come up with a veritable outcome.

    “The ₦70,000 is the beginning; level 1 step 1. Other agreement or negotiation on consequential adjustment will follow.”

    On what they may do if the governor fails to pay workers the ₦70,000 minimum wage, Comrade Ogbonnaya said: “We don’t need to deliberate on that.

    “The Commissioner said that the state government will pay N70,000 minimum wage by the end of October.

    “The payment of ₦70,000 starts with level 1 step 1. Level 1 step 1 cannot earn the same thing with level 8 or 13. It is a right step in a right direction and we commend the governor, at least for joining other counterparts to pay the ₦70,000 minimum wage.

    “By the end of this October, like the governor has just said, the payment of the new minimum wage will start.”

     Anambra too

    Another state planning to commence payment of the new minimum wage next month is Anambra State, according to Governor Chukwuma Soludo.

    “From next month, we hope to start paying the new minimum wage of N70,000,” he said in Awka.

    The Chairman of the local Nigeria Labour Congress (NLC), Comrade Humphrey Nwafor, told The Nation they were excited

    He said since the Governor had announced the date it would start, that Labour would expect the committee set up in the state to meet.

    According to him, “We’re highly excited. It’s for the committee to meet for the implementation as announced by the Governor,” Nwafor said

    We’ll study template critically — Kano State govt

    The Kano State government plans to study critically the new minimum wage template issued by the federal government before deciding what to do, Information Commissioner  Baba Dantiye told The Nation in Kano.

     “Kano will come up with a position and when to start paying,” Dantiye said.

    The Information commissioner added that “Kano State is not owing monthly salaries to its civil servants.”

    SSANIP laments delayed implementation of new minimum wage

    The Senior Staff Association of Nigeria Polytechnics (SSANIP) has decried the non-implementation of the new minimum wage signed into law by President Bola Tinubu.

    The polytechnic workers said the delay in the payment of the new wage was causing a lot of financial constraints and economic hardship for Nigerian workers.

    SSANIP said this in a communiqué issued at the end of its 73rd General Executive Council (GEC) meeting in Abuja.

    The communiqué, which was signed by the National President of SSANIP, Comrade Philip Adebanjo Ogunsipe and the National Secretary, said: “Council in session observed with dismay the prolonged delay in the implementation of the New Minimum Wage since it’s been signed into law by the President of Nigeria.

    “The unnecessary delay is causing a lot of financial constraint and economic hardship on Nigerian workers.”

    SSANIP appealed to the Federal Government to fast-track the process so that workers will not be reduced to beggars, as the current take-home was “nothing good to write home about.”

    On the removal of fuel subsidies, SSANIP said. “The Council condemned in totality the arbitrary increase in the price of petroleum products, thereby further impoverishing and exacerbating the pains of Nigerians.

    “The Council is even more worried that the humongous $20 billion spent over time for the turn-around maintenance of the refineries has yielded no result; rather, it has gone down the drains, resulting in untold excruciating pains being felt by Nigerians.

    “Council therefore beckoned on all concerned to rejig the architecture for a total turnaround maintenance of the Nigeria refineries for the betterment of Nigerian citizens.

    “Equally, it urged the Federal Government of Nigeria to reverse the price of the Petroleum Motor Spirit (PMS) to its original price to bring succour and relief to the suffering masses.”

    SSANIP also expressed worry that the Nigerian currency was rated as one of the ten worst-performing currencies in the world.

     This, according to SSANIP, was largely due to the sudden removal of fuel subsidy, the floating of the naira, and other harsh economic policies of the present administration.

    The communique added: “No matter how good the policies are or may look like, Council felt it was ill-timed, as this has created untold hardship on Nigerians.

    “It therefore called on the government to review all these draconian policies in order to reduce the rate of poverty and prevailing economic woes as it’s presently been experienced in the country.”

    The union expressed concern over the attitude of some State Polytechnics and similar institutions in the appointment of their Principal Officers in clear violation of the approved templates for the appointment of such officers by the National Board for Technical Education (NBTE).

    SSANIP therefore called on the NBTE to sanction such erring institutions in accordance with its recent circular on the matter to curtail this ugly development.

    On the delay in accessing retirement benefits by retirees, SSANIP frowned at the suffering and unbearable pains being experienced by the officers who had retired after they had meritoriously served their fatherland.

    “The most unfortunate aspect of this painful scenario was that these people, after working assiduously, committedly, and after attaining the age of 65, are now being reduced to beggars pleading for alms and support from dependents and relatives.

    “More worrisome is the fact that those who retired for over a year now have not been able to access their retirement benefits as a result of non-disbursement of the accrued rights due to them by the Federal Government.

  • Civil servants push for payment of new minimum wage

    Civil servants push for payment of new minimum wage

    • ASCSN elects EXCO

    The Association of Senior Civil Servants of Nigeria (ASCSN) has called on governors to implement the new minimum wage to improve the standard of living for their citizens.

    Its Secretary-General, Comrade Joshua Apebo made the call during the fifth Quadrennial National Delegates Conference  in Ikeja, Lagos.

     He said the call became imperative against the backdrop of the increase in allocation from the Federal Account Allocation Committee (FAAC) after the removal of fuel subsidy,

    Apebo also called for the restoration of gratuities to employees in Treasury-funded Ministries, Departments and Agencies (MDAs) without delay.

    He noted the inclusion of pensioners under the Contributory Pension Scheme (CPS) in the review of pension rates of necessity, but added that the Pension Reform Act  of 2004 was silent on gratuity payments.

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    He said since its enactment, employees in MDAs and their counterparts in states that have adopted the new pension scheme had not received any  gratuity.

    “We request that state governments implement the new national minimum wage to enhance the standard of living of their citizens. This can be achieved by reducing wastages and blocking leakages of government funds.

    “We also advise the government to adopt the policy of indexing income to match inflation rates, as recommended years ago by the Chief Ernest Shonekan Committee,” Apebo said.

    Also, the  President, Trade Union Congress  TUC, Comrade  Festus Osifo, noted that  ASCSN was the largest affiliate of TUC and promised to protect the interest of the association.

    A major highlight of the conference was the election of new executives.

    Comrade Shehu Muhammed was elected as the new National President, while Comrade Adebayo Fajobi is the National Vice President, along with other 11 members of the Central Working Committee (CWC) of the association.

    Delegates were drawn from various organs of the union, including the units, branches and chapters across the Federation.

    After deliberations on the state of the nation, as well as, trade union matters, the delegates lauded President Bola Tinubu for signing the National Minimum Wage Bill, 2024 into law.

    On insecurity, the conference noted that such vices in various parts of the country had contributed to high-cost of living; since farmers were prevented from carrying out agricultural activities, urging the government to take steps to reduce the security challenges in the country.

    This, it noted, would ensure that citizens go about their normal duties without fear or hindrances.

    Osifo urged  the new executives  to put the  interest of their members at heart.

  • Onjeh commends Gov Alia for commitment to new minimum wage

    Onjeh commends Gov Alia for commitment to new minimum wage

    Former senatorial candidate of the All Progressives Congress(APC) for Benue South Comrade Daniel Onjeh has praised Benue Governor Hyacinth Alia for his resolve to pay workers the new N70,000 minimum wage. 

    “This decision is a testament to Governor Alia’s unwavering commitment to the welfare of civil servants in Benue State,” Onjeh stated. 

    On July 17, the Nigerian Labour Congress (NLC), the Trade Union Congress (TUC) and the Federal Government agreed on a new national minimum wage of N70,000. 

    Onjeh said since assumption of office, Alia has demonstrated unwavering dedication to the welfare of Benue workers. 

    “He has consistently paid staff salaries on or before the 25th of each month, a feat unprecedented in the state’s history. This commitment to timely payment of salaries has brought relief and hope to thousands of families across the state,” Onjeh said. 

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    The decision to pay the new minimum wage of N70,000, he stressed, is a welcome departure from the inability of previous administrations to prioritise staff welfare and development. 

    Onjeh said: “Governor Alia’s resolve to implement the new minimum wage is a testament to his administration’s commitment to the well-being of Benue State workers,” he added. 

    The former Chairman of the Governing Board of PRODA Enugu urge other Governors to follow Alia’s lead and prioritise the welfare of their workers.

     The new minimum wage, he argued, is not only a legal obligation but also a moral imperative. 

    “It is our collective responsibility to ensure that workers are fairly compensated for their dedication and hard work,” he stated. 

    He reiterated the Governor’s resolve to pay the new minimum wage was a beacon of hope for workers across the State and a testament to his administration’s dedication to their well-being.

  • Minimum wage: Crisis brews in states over chapters’ demand for jumbo pay

    Minimum wage: Crisis brews in states over chapters’ demand for jumbo pay

    • Abia, Anambra, Bayelsa, Kebbi, Nasarawa, Zamfara default payment of N30,000

    • Experts: How governors can cope with new minimum wage

    Many of the 36 states are in a quandary on how to cope with payment of the new minimum wage according to reports from some of the states.

    Negotiation is already intensifying between the federal government and labour over the new  minimum wage with investigation showing  that six states

    Abia, Anambra, Bayelsa, Kebbi, Nasarawa and Zamfara- are yet to implement the current minimum wage of N30,000,almost six years after its introduction.

    Four other states –Ebonyi, Benue, Kogi and Osun – are only paying  the minimum wage to workers on levels one to six and in the case of Osun, beneficiaries are those from level 7 and below.

    Many of the states have also not done well in the payment of wage award to workers to cushion the effect of the current rise in the cost of living, according  to a report prepared for the Nigeria Labour   Congress (NLC).

    In the NLC report sighted by The Nation states confirmed as paying the current minimum wage are: Adamawa, Akwa Ibom, Bauchi, Borno, Delta, Edo, Ekiti, Enugu, Gombe, Jigawa, Kaduna, Kano, Katsina, Kwara, Lagos, Niger, Ogun, Ondo, Oyo, Plateau, Rivers, Taraba and Yobe.

    The excuse often given by the states that have not been paying the minimum wage is paucity of funds.

    Although the monthly allocations to the three tiers of government  have increased substantially in the aftermath of the fuel subsidy withdrawal, the defaulting states are still foot dragging on effecting payment of the minimum wage.

    The situation appears  even worse in respect of payment of  wage award by the states.

    Only Ondo and Lagos states are recorded as having paid anything close to the N30,000 per month for a half year as initiated by the federal government.

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    Ondo paid N35,000 and Lagos N31,000.

    Some other states pay amounts ranging between N10,000 and N25,000 while some have not even paid anything yet.

    States yet to pay the wage award are: Abia, Akwa Ibom, Bayelsa, Benue, Borno, Edo, Kaduna, Kebbi, Kogi, Nasarawa, Rivers, Taraba and Zamfara.

    Akwa Ibom is said to have paid palliative allowance for Christmas only while Anambra paid  only N12,000 and Niger State N20,000 also in December.

    Delta paid N10,000 for September, October and November.

    Reports from the states said the governors were not amused by the high figures demanded  by labour activists during the recent zonal public hearing  on the minimum wage organized by the 37-member committee set up on the issue by the federal government.

    The figures range between N447,000 and N850,000 per month.

    The committee which is headed by a former Head of Civil Service of the Federation,  Bukar Aji, has six governors among its members: Mohammed Bago (Niger State, representing the  North Central); Bala Mohammed (Bauchi State, representing the North-East);  Dikko Radda ( Katsina State, representing the North-West);Charles Soludo (Anambra State, representing the South-East);  Ademola Adeleke (Osun State, representing the South-West); and Otu Bassey (Cross River State, representing the South-South).

    Also on the panel are Minister of State for Labour and Employment, Nkeiruka Onyejeocha; Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Minister of Budget Economic Planning, Atiku Bagudu, and the Head of the Civil Service of the Federation, Dr. Yemi Esan.

    The  governors, who said  unrealistic demands from Labour would not do anyone any good, urged the Minimum Wage Committee to consider the capacity of the states to pay the new minimum wage.

    The committee is scheduled to meet again later this week.

    Experts: How governors can cope with new minimum wage

    A former Director-General at the Lagos Chamber of Commerce and Industry (LCCI), Dr. Muda Yusuf, believes that the states can pay a reasonable minimum wage if they have the right policies in place.

    “Well, the point is that the states are getting more revenue now and so, their capacity to pay has increased,” he told The Nation by phone yesterday.

    He added: “There is no doubt about that. But the major thing I think they can do to meet up with the minimum wage obligation is to take a cue from what the federal government is doing.

    “Many of them (states) have over-bloated workforce, whether at the state or local government levels. Some of them do not need more than half or two thirds of the current workforce that they are carrying.

    “There are so many idle hands in the state bureaucracies. There are too many political appointments and too many people on their payrolls. So, they have to also prune down that.

    “Because if you must engage people, you must give them a wage that makes sense. You don’t just engage people for the sake of engaging them. What is worth doing at all is worth doing well. “So, let them just retain the size of the workforce that they can give a wage that is a bit reasonable, especially given the realities of inflation that all of us are facing now. I think those are the things I think they should do first and foremost.

     “Then of course, they should also be more creative in getting more revenue internally. Many of them are too dependent on the federal allocation. So, they need to be a lot more creative.”

    On whether the state governments need to consider raising taxes in order to jack up their revenue base, Yusuf spurned the idea, but would rather they get more ingenious with the tax administration.

    “Asking the states to boost their revenue profile is not about raising taxes at all. It’s about efficiency in tax administration. In many of the states, their tax administration system is so very loose. People are doing business in those places and it is their responsibility to pay tax. We are not talking about increasing the taxes regime. We are talking about efficiency, we are talking about using technology to ensure that the citizens’ taxes, especially the corporate citizens also live up to their statutory obligations to the government.“

    According to him, “Some people are doing businesses across the states and some of those businesses are doing well and some of them are not paying any taxes at all. If you go to some of those states, you have some big properties that people have built there; it’s not poor people that built them there. In many of those places, many of them are not paying any form of taxes. So, the point to make is about efficiency in tax administration.”

    Pascal Efe, a public affairs analyst, shares the same sentiments with Yusuf. “I agree that a new minimum wage is indeed inevitable given the current state of affairs. What the state governors can do is to ensure proper management of their resources by cutting down on many wasteful expenditures. That way they can pay the minimum wage and still be able to carry our critical infrastructure in their respective states.”

  • NLC FCT proposes N709,000 minimum wage for workers

    NLC FCT proposes N709,000 minimum wage for workers

    The Nigeria Labour Congress (NLC) ,FCT chapter, has proposed N709,000 as new minimum wage for Nigerian workers.

    The NLC FCT Chairman, Dr Stephen Knabayi, made the submission at the North Central Zonal Public Hearing organised by the Tripartite Committee on the National Minimum Wage on Thursday in Abuja.

    The News Agency of Nigeria (NAN) ‘that President Bola Tinubu, through Vice-President Kashim Shettima, had on Jan. 30 inaugurated a 37-member panel on the new minimum wage in Abuja

    The committee scheduled March 7 for public hearing in all the six geo-political zones in the country.

    In the North Central zone, no fewer than 15 organisations met and presented their submissions to the council.

    Knabayi, while making the submission, said the Congress took cognisance of the present economic conditions in the country in arriving at the figure.

    According to him, the sum proposed will help cushion the effects of the economic challenges and ameliorate the sufferings of Nigerians.

    “We have a common position. This position considers the current economic plight in the country.

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    “We have the submission that N709,000 per month should be the minimum wage for the workers in the country.

    “We believe that Nigeria has what it takes, the leadership should commit themselves to getting this money paid and for us to have better treatment for the working people of Nigeria,” he said.

    The Trade Union Congress(TUC) ,FCT chapter ,making its submission at the public hearing , proposed N447,000 as the new minimum wage .

    Mr Amaege Chukwudi,who represented the TUC chapter, said: “This will give Nigerian workers a minimum level of comfort and enable them to cope with the current level of economic hardship, which has turned the majority of them to beggars.

    “So for us in the FCT, we expect the minimum wage to run across the three tiers of government “he said

    Chukwudi appealed for policy reform that would engender massive food supply in the country.

    He urged the Federal Government to provide buses to ease movement of workers , fix refineries, and ensure stable electricity supply, among other recommendations.

    Speaking , Prof. Mohammad Mohammed, of the Medical and Dental Consultant Association of Nigeria, said the minimum wage for workers should be N440,333.33.

    The professor also appealed that a consequential adjustment should be included in the approved minimum wage for workers.

    Representatives of the Forum of Retired Directors of Federal Civil Service proposed N70,000 minimum wage for workers at the hearing .

    They also appealed for a review of pension allowance as stipulated in Nigerian law.

    Meanwhile, the Federal Civil Service of Pensioners of Nigeria has demanded that 85 per cent of the minimum wage that would be approved should be assigned to them.

    The National Chairman of the Association, Sunday Omezi, said at the hearing that the money would enable them to take care of themselves and their health challenges.

    The chairman, however, expressed displeasure that pensioners were not included in the tripartite committee.

    Speaking ,Chairman of the Zonal Committee,Mr Festus Osifo, said the committee would make recommendations for effective and full implementation of the new minimum wage , once approved and signed into law.

    “We will try to put in place very strong sanction and punitive measures to ensure that once passed into law, it is implemented across the states”,he said.

    The hearing was well attended by government representatives and stakeholders, both from the public and private sector.

    (NAN) (www.nannews.ng)

  • Why new Minimum Wage demands may be N1m – Ajaero

    Why new Minimum Wage demands may be N1m – Ajaero

    The National Labour Congress (NLC) has said its minimum wage demands may rise to N1 million per month if economic woes persist.

    According to the National Labour Congress (NLC), if the economy continues to suffer, its demands for a minimum salary might increase to N1 million per month.

    In an interview on Arise TV on Sunday, NLC President Joe Ajaero cited growing inflation and currency devaluation as major motivators.

    He said: “This N1 million may be relevant if the value of the Naira continues to depreciate; if the inflation continues to depreciate. The demand of Labour is equally dependent on what is happening in the society.

    “You will remember that by the time we were contemplating N200,000, the exchange rate was about N900. As we talk today, the exchange rate is about N1,400 or even more.

    “Those are the issues that determine the demand and it is equally affecting the cost of living and we have always said it that our demand will be based on the cost of living index.

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    “You’ll agree with me that a bag of rice is about N60,000 to N70,000. Foodstuff is getting out of reach. Now, are we going to get a minimum wage that will not be enough for transportation even for one week?

    “We have to factor in all these issues. And that will determine the federal government commitment to these negotiations,” he said.

    Ajaero’s remark coincides with impending threats of strikes.

    The Federal Government and Organised Labour, the National Labor Congress (NLC) and Trade Union Congress (TUC), are scheduled to meet today to debate measures in response to a 14-day strike warning.

    The unions accuse the government of violating their previous agreements, including temporary wage awards for workers.

    He said: “Only one month of the N35,000 naira was paid to civil servants. Also, there is no evidence of payment of any N25,000 paid as palliative to workers. That’s what led to what’s happening in the humanitarian ministry.

    “No farmer has come to say that he received fertilisers from the government. I don’t know whether the fertilisers are for sale, or for cultivation,” he added.

  • Workers’ hope rises over new minimum wage

    Workers’ hope rises over new minimum wage

    As the Federal Government is working towards a new minimum wage, which is expected to commence very soon,workers across the country are full of expectations.TOBA AGBOOLA writes.

    Given the hyper inflation in the country, there could be no better time for workers to ask for a wage increase.

    Experts have supported the need for an increased minimum wage, saying the last few years had been unpleasant as real disposable incomes and  the naira, among others, were affected.

    Also, there have been continuous rise in food prices, due to factors like the weakening naira, climate change and escalating insecurity.

    The National Bureau of Statistics (NBS) Consumer Price Index (CPI) stated that the accelerated headline inflation hit 28.2 per cent last November and food inflation 32.8 per cent.

    The World Bank also said the country’s inflation eroded the N30,000 minimum wage by 55 per cent, thus reducing household expenditure.

     There have been several minimum wage increases. In 1990, from N3,000, the minimum wage went up to N7,500; in 2010, it hit N18, 000 and from N18, 000 to N30, 000 in 2018.

    The effect of the inflationary pressure cannot be be overemphasised as it shrunk the value of workers’ income, stretched budgets, and even forced many to cut down  their purchases during the festive season.

    True, the removal of subsidies on petroleum products further worsened the challenges faced by workers.

    It unleashed severe pains and contributed to galloping inflation even as it increased inequality and poverty, experts added.

    However, it was learnt the Federal Government is doing everything possible to ensure that the minimum wage is commensurate with the prevailing cost of living.

    It was the President Bola Tinubu who first hint of a new minimum wage. Following the removal of fuel subsidy and unification of the naira, he, while delivering a speech last July, promised an upward review of the national minimum wage.

    Again, the President, in his New Year’s message, assured workers that the New Minimum wage would take effect very soon.

    Prior to this, the President announced a six-month temporary wage increase for some workers.

    The wage increase, which has taken effect, was to help cushion the effects of the fuel subsidy removal, which has led to a surge in the cost of living.

    “Based on our talks with labour, business and other stakeholders, we are introducing a provisional wage increment to enhance the federal minimum wage without causing undue inflation.

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    “For the next six months, the average low grade worker shall receive an additional N25,000 per month,” Tinubu had said.

    Again, in his New Year’s speech, he said: “The economic aspirations and the material well-being of the poor, the most vulnerable, and the working people shall not be neglected. It is in this spirit that we are going to implement a new national living wage for our industrious workers this new year. It is not only good economics to do this; it is also a morally and politically correct thing to do.’’

    Projecting into the year, especially as they anticipate the commencement of negotiations for the new National Minimum Wage, effective April 1, the experts believe that the quest for a new wage that is sufficient to provide a decent living for workers and their family members was crucial.

    They said a well-motivated and well-remunerated workforce has a positive impact on productivity and national development, adding that the pursuit of a national living wage is not merely an economic necessity, but also a moral imperative.

    Stakeholders’ expectations

    In view of this, the Nigerian Employers Consultative Association (NECA) called on the Federal Government to revive the Committee on the new National Minimum Wage.

    NECA, also a member of the Tripartite Committee set up by the government, noted that the government had requested for the nominees from the Organised Private Sector (OPS) and the Organised Labour,  which according to body, been forwarded.

    Director-General of NECA, Adewale Smart Oyerinde, said as a representive of the OPS, said: “Towards the end of last year, November and December, the government had requested for the nominees of the Organised Private Sector, which we have forwarded to them and, I believed, organised labour have forwarded theirs to them.

    “What we are expecting is for the government to actually call the committee to commence their work immediately.

    “We are hoping that before the end of this month, the committee will be called to commence deliberation that will lead us to arrive at the new national minimum wage for  workers.”

    He canvassed the negotiation of a new wage that is commensurate with the realities of the situation.

    “We think the N30,000 minimum wage is no longer realistic because our economic situation and inflation rates have eroded the purchasing power of an average worker, and the household also is feeling the pinch.

    “For the employers, we support a realistic minimum wage. Within the context of the negotiation, there are other variables beyond inflation rates. You also look at the ability of businesses to pay, you also look at the economic situation and productivity.’’

    While he mentioned that there had been a conversation about the concept of a living wage and the reasons a living wage is desirable, he said globally and even at the high end, there is no framework for arriving at a living wage.

    He added that the committee tasked with negotiating a national minimum wage  framework based on the International Labour Organisation (ILO) Convention 131 would still have to review President  Tinubu’s New Year’s speech on the matter.

    Oyerinde commended President Tinubu on the move to reduce the entourage of government officials, adding that this is one of the ways to reduce the cost of governance.

    President, Nigeria Labour Congress (NLC), Joe Ajaero,  hoped that the new minimum wage would approximate a living wage, saying that the Tripartite Committee has its job cut out for it.

    However, he said, the government should, in the first quarter of the year, fulfill its promises to the citizens as contained in the 15-point agreement signed on October 2, 2023, during negotiations with labour and the government to cushion the impact of fuel subsidy on Nigerians.

    Part of the agreements, the NLC chief said, was the issue around the Compressed Natural Gas (CNG) buses and the conversion kits, calling on the government to implement the agreement.

    Ajaero said the buses should be the produced by local manufacturers to boost local content. Besides, he said it would make fares cheaper.

    He said the Congress expects the Port Harcourt Refinery to be operational.

    Also, Deputy President, Trade Union Congress of Nigeria (TUC), Dr. Tommy Okon, urged the government to encourage employers to pay the national minimum wage. He also said the Organised Labour would take cognisance of education, health, housing, and transport.

    Recall that the NLC and TUC listed conditions for the proposed review of the national minimum wage, saying the continuous rise in inflation and the devaluation of the naira must be checked before the salary increase announced by the Federal Government could be considered.

    The Organised Labour explained that the cost of virtually all consumables had been on the rise, stressing that if this should continue, any amount that would be added to the minimum wage might not meet the expectations of workers.

    The TUC had demanded a minimum wage of N200,000 monthly, while the President, the National Union of Banks, Insurance and Financial Institution Employees (NUBIFIE), Abakpa Anthony,proposed the minimum wage of between N120,000 and N150,000, adding that the high-earning workers and their poorly paid counterparts shop in the same market.

  • Senate to fast-track passage of new Minimum Wage Bill

    Senate to fast-track passage of new Minimum Wage Bill

    The Senate on Friday, October 6, said it would give the proposed new minimum wage bill from the Executive arm of government expeditious consideration towards ensuring improved welfare for Nigerian workers and industrial harmony in the country.

    The Chairman Senate Committee on Employment, Labour, and Productivity, Senator Diket Plang (APC – Plateau Central), disclosed this in a statement in Abuja.

    Senator Plang assured Nigerians that the 10th Senate and by extension, the 10th National Assembly, is committed to improving the living conditions of workers in the country and tackling poverty.

    He said: “Efforts of the Federal Government and the Organized Labour for agreeing to set in motion necessary machinery to review the current Minimum Wage in Nigeria as contained in the memorandum of understanding signed by the negotiating parties are commendable.

    “The Senate Committee on Employment, Labour and Productivity under my chairmanship, is prepared to give expeditious attention to the passage of a new Act, once negotiation on the matter is concluded and such bill transmitted to the National Assembly for enactment.”

    He commended the Federal Government on the proactive actions taken to avert a nationwide strike last week Tuesday but warned parties involved, not to renege on agreements reached.

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    He said: “Nigerians and particularly members of this committee, are happy that the then looming industrial unrest, was averted following a Memorandum of Understanding entered into by the Federal Government, Nigeria Labour Congress (NLC), and the Trade Union Congress (TUC).

    “However, all the parties involved should avoid reneging on any of the agreements reached.”

    The committee, he added, is committed to the International Labour Organisation (ILO) principle of decent work and will take necessary legislative action to support efforts that will improve the working conditions of Nigerian workers including payment of living wage as enshrined in the decent work agenda.