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N100,000 inadequate as minimum wage, N1m is more realistic — NLC



The Nigeria Labour Congress (NLC) says increasing the national minimum wage to N100,000 “falls far below the realistic figure”.

 

On Friday, AbdulRahman AbdulRazaq, governor of Kwara, asked President Bola Tinubu to consider increasing the national minimum wage from N70,000 to N100,000.

 

The Kwara governor proposed the increase in minimum wage during a meeting between Tinubu and state governors at the president’s residence in Lagos.

 

Speaking in an interview with Punch, Benson Upah, spokesperson of the NLC, said the Kwara governor’s proposal is “thoughtful”.

 

 

AbdulRazaq is the chairman of the Nigeria Governors’ Forum (NGF).

 

Upah said the proposed amount is not enough considering the depreciation of the naira, rising inflation, increase in electricity tariff, and the new tax regime.

 

The NLC spokesperson said the economic situation of the country requires that workers are being paid a higher wage, adding that the realistic figure would be N1 million.

 

 

“We consider it thoughtful of the Kwara State governor to propose this, but certainly, N100,000 falls far below the realistic figure,” he said.

 

“Given the realities around the exchange rate, inflation, raised tariffs, the surge in the pump price of petrol and associated costs, the decline in the purchasing power of the average worker, and the effects of the new tax regime on our cost of living, the realistic figure, subject to status quo maintenance, would be N1 million

 

“In light of the earnings by governments, this should not be a big issue. Check what is being shared at FAAC. The windfall from the Middle East war has put over N5tn in the treasury. Even though this is temporary, it is nonetheless very good for governments.”

 

In June 2024, Tinubu approved the increase of minimum wage from N30,000 to N70,000 after assenting to the national minimum wage legislation.

 

 

The legislation provides for a review of the minimum wage every three years.

 

The previous N30,000 minimum wage was approved by the former President Muhammadu Buhari in 2019.

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