Failure to pay new minimum wage will lead to trouble – Labour tell States

The Organised Labour has issued a strong warning to states that have yet to implement the newly approved minimum wage set by the federal government, cautioning that non-compliance could lead to significant unrest.

Gistreel recalls that in July, President Bola Tinubu signed into law a new National Minimum Wage of ₦70,000 after lengthy negotiations with the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC).

Three months later, the NLC has raised concerns that, while some states have made progress in implementing the new wage, many are still lagging behind.

NLC spokesperson Benson Upah told Saturday Sun that the level of implementation varies across the country. He noted that the issue of consequential wage adjustment, a formula determining how much is added to workers’ salaries based on their grade levels, is creating challenges in some states.

The NLC has urged state governments to act swiftly and fulfill their legal obligations, especially in light of the increasing cost of living and the recent fluctuations in the exchange rate.

Upah stated: “All the states are at various levels of implementation. At least we know that of Lagos State that has raised its offer from the ₦70,000 it was paying to ₦85, 000.

“We know that Ogun is paying ₦77, 000; Ondo, ₦73, 000; Kogi State, ₦72,500; Gombe is paying ₦71,500.

“The other states such as Delta, Adamawa, Edo, Borno, Ekiti, Cross River, Benue are also paying. Other states have set up committees for implementation.

“Generally, the issue at the moment revolves around the consequential adjustment. That is where I would say we have some slight issues but even then, that would be sorted out, because as you know, this is a law and all the states are expected to obey the law.

“The states have become very rich, as you can see, the FAAC allocation to them has moved up. So, we do not expect any state to act in breach of this law. And besides that, the cost of living has pushed up. The naira has lost considerable value and anybody who says they cannot afford to pay will be causing trouble and trouble they will have.”

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

According to Apebo, many state governments have merely announced their intent to comply but have yet to take full action.

“From information available to me, no state government has implemented minimum wage as at the moment.

“What state governments have done is just mere pronouncements on their willingness to pay.

“We are hoping that state governments will pay the minimum wage this month (October). We have noted too that there will be consequential adjustments across the grade levels.”

When asked what the union would do if some states refuse to implement the new wage, Apebo responded, “I do not see any state refusing to pay because it is a law. They were part of the negotiation.

“They were presented at the Governor’s Forum. So they cannot refuse. The new minimum wage commenced in July, so we are expecting that by the time they finish negotiating with their various workers in the states, they will pay with the arrears.”