The Nigeria Labour Congress (NLC) has signaled its intention to push for a clause in the Minimum Wage Act that would penalize governors and local government officials failing to implement the new minimum wage. Hakeem Ambali, the NLC National Treasurer, highlighted the absence of punitive measures in the 2019 Minimum Wage Act as the reason behind some state governors' reluctance to pay the current minimum wage.
Ambali revealed this in an interview in Abuja, noting that the NLC has included internal clauses in the new minimum wage bill to compel governors to comply. He also mentioned that some governors are part of the negotiation process. The proposed bill aims to ensure governors pay the approved rate by imposing sanctions and increasing allocations to local governments.
President Bola Tinubu, represented by Vice-president Kashim Shettima, inaugurated a 37-member panel on the new minimum wage on January 30, 2024. This panel, comprising members from federal and state governments, the private sector, and organized labor, is tasked with recommending a new national minimum wage.
The 37-member Tripartite Committee on Minimum Wage, appointed by the Federal Government, is set to meet this week to discuss stakeholder proposals on the new minimum wage. An executive bill is expected to be sent to the National Assembly for amending the current Minimum Wage Act. The new minimum wage is anticipated to offset the impact of the removal of fuel subsidy.
During public hearings, different zones proposed varying amounts for the minimum wage. The South-West suggested N794,000; North-East proposed N560,000; North-West proposed N485,000; North-Central proposed N709,000; South-South demanded N850,000, while the South-East demanded N540,000.
