‘Three Months After New Wage Law’ NLC Raises Alarm As States Fail To Deliver

Organised Labour has issued a strong warning to states that have yet to enforce the newly approved minimum wage set by the federal government, stating that failure to comply could lead to significant unrest.….CONTINUE READING 

In July, President Bola Tinubu signed the new National Minimum Wage of ₦70,000 into law following extensive negotiations with the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC).

Three months post-agreement, the NLC has raised concerns that while some states have made progress in implementing the new minimum wage, many others are lagging behind in fulfilling the agreement.

NLC spokesperson Benson Upah informed Saturday Sun that the pace of implementation varies nationwide. He pointed out that the consequential wage adjustment, which determines salary increases based on workers’ grade levels, is presenting challenges for several states.

Upah urged state governments to act quickly to meet their legal obligations, especially given the rising cost of living and recent fluctuations in the exchange rate.

“All states are at different stages of implementation. For example, Lagos State has increased its offer from ₦70,000 to ₦85,000. Ogun is paying ₦77,000; Ondo, ₦73,000; Kogi State, ₦72,500; and Gombe is paying ₦71,500,” he noted.

Other states like Delta, Adamawa, Edo, Borno, Ekiti, Cross River, and Benue have also started paying, while some have established committees for implementation.

“The main issue right now revolves around the consequential adjustment. We have some minor challenges, but we believe this will be resolved, as this is the law and all states are expected to comply. The states have become quite wealthy, as evidenced by the increased FAAC allocations, so we do not anticipate any state acting against the law. Furthermore, the cost of living has surged, and the naira has significantly depreciated. Any state claiming it cannot afford to pay will be courting trouble,” Upah asserted.

Similarly, Joshua Apebo, General Secretary of the Association of Senior Civil Servants of Nigeria (ASCSN), indicated that no state has fully implemented the new minimum wage yet.

“From the information I have, no state government has actually enforced the minimum wage as of now. What we’ve seen are merely announcements of their willingness to comply,” Apebo said.

He added, “We hope state governments will start paying the minimum wage this month (October), with consequential adjustments across the grade levels.”

When asked how the unions would respond if some states refuse to comply with the new wage, Apebo replied, “I don’t see any state refusing to pay because it’s the law. They participated in the negotiations and were present at the Governor’s Forum. They cannot refuse. The new minimum wage took effect in July, and we expect that after negotiating with their various workers in the states, they will pay with the arrears.