In a significant development for Nigerian workers, the Federal Government has reached an agreement with Organised Labour on a new minimum wage of ₦70,000. The announcement was made by the Minister of Information, Mohammed Idris, following a crucial meeting held in Abuja on Thursday.
The meeting, which included President Bola Tinubu and leaders from the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), resulted in the breakthrough decision. “We are happy to announce today (Thursday) that both the Organised Labour and the Federal Government have agreed on an increase on the ₦62,000 minimum wage. The new national minimum that Mr President is expected to submit to the National Assembly is ₦70,000,” said a visibly elated Idris to the State House correspondents.
The announcement was further endorsed by the presence of notable figures such as NLC President Joe Ajaero, TUC boss Festus Osifo, and Labour Minister Nkiruka Onyejeocha. These officials flanked the minister as he broke the news.
Joe Ajaero confirmed this agreement, stating, “₦70,000 was where we were on the issue of the minimum wage.” He emphasized that the minimum wage is set to be reviewed every three years, moving away from the erstwhile five-year period. “What they have announced in terms of the amount of ₦70,000 happens to be where we are now. But we will not wait for another five years to come and agree,” Ajaero reiterated.
In turn, Onyejeocha revealed that President Tinubu has instructed the Ministers of Finance and Budget, Wale Edun and Atiku Bagudu, to devise strategies to address ongoing disputes, particularly concerning the Senior Staff Association of Nigerian Universities (SSANU) and the Non-Academic Staff Union of Educational and Associated Institutions (NASU).
This landmark agreement follows a prolonged series of discussions between labour leaders and the President over recent weeks, succeeding months of unproductive negotiations with a tripartite committee on the minimum wage, constituted by President Tinubu in January.
The tripartite committee, encompassing representatives from state and federal governments and the Organised Private Sector, had proposed ₦62,000. However, labour unions had staunchly demanded ₦250,000, recognizing the current ₦30,000 wage as unsustainable given the country’s economic conditions, including inflation and the high cost of living spurred by the removal of the petrol subsidy.
During last Thursday’s meeting, Tinubu called for realistic expectations regarding the minimum wage, saying, “You have to cut your coat according to available cloth. Before we can finalize the minimum wage process, we have to look at the structure.”
In his Democracy Day speech on June 12, 2024, the President had assured that an executive bill proposing the new national minimum wage for workers would soon be forwarded to the National Assembly for passage.
Confirming this on Thursday, the information minister stated that the ₦70,000 “agreed” amount would be communicated to the National Assembly in the coming days, signaling a prompt follow-up to the decision reached.
