NLC to include sanctions against defaulting governors for new minimum wage implementation

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On Sunday, the Nigeria Labour Congress made it clear that it would push for the addition of a clause that would impose sanctions on governors and local government officials who did not enforce the new minimum wage.

In an interview with newsmen in Abuja, National Treasurer of the NLC Hakeem Ambali said that the absence of punitive measures in the Minimum Wage Act of 2019 was the reason state governors refused to pay the existing minimum wage.

He made this statement in light of Sunday’s news that the 37-member committee appointed by the federal government would convene this week to discuss reports that have been filed by various subcommittees representing the nation’s six zones.

The 37-member panel on the new minimum wage was officially established on January 30, 2024, by President Bola Tinubu through his Vice-President, Kashim Shettima.

The council, whose members include organized labor, the private sector, and the federal and state governments, is tasked with proposing a new national minimum wage for the nation.

Ambali said, “When we look at the purchasing power in Nigeria, we can see a huge difference between 2019 and now. With the stoppage of the payment of the fuel subsidy, we can see an increase in the hardship of Nigerians.

“In the new minimum wage bill which will soon be signed into law by the President, we have put in some internal clauses to make it difficult for governors not to pay the new minimum wage. It is also good to know that some of the governors are also involved in the negotiation process.

“Labour itself has to be responsive. Once the National Minimum Wage Bill is signed into law juxtaposed with Labour’s responsiveness, we know they will pay. As you can see,0 even private companies have started increasing the salaries of workers and some of them are even paying wage awards for their workers.

“So in the bill, the clause involves sanctions and also talks about increased allocation to local governments so that nobody will have any excuse of not paying the approved rate.”

In the meantime, this week’s meeting of the 37-member Tripartite Committee on Minimum Wage, constituted by the Federal Government, will discuss stakeholder ideas for the new minimum wage.

It is also anticipated that an executive measure amending the current Minimum Wage Act would be sent to the National Assembly.

It is anticipated that the minimum wage, which will be announced, will mitigate the impact of Premium Motor Spirit’s loss of subsidies.

At the public hearings, many zones proposed varying minimum wage amounts. The North-East requested N560,000 as the minimum wage; the North-West recommended N485,000; the North-Central proposed N709,000; the South-South asked N850,000, and the South-East demanded N540,000. The South-West zone proposed N794,000.

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Alex Obichie
Alex Obichie
Alex Obichie is an Ardent Sustainability Enthusiast, advocate for the Waste-2-Wealth Initiative, and Ingenious Politician, he uses articles to promote and sensitize the public about matters surrounding the environment, political systems and ways to benefit & support sustsinable global development.

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