The President of the Nigeria Labour Congress (NLC), Joe Ajaero, has urged the Federal Government to review its minimum wage.
He maintained that state governments initially presented as unable to afford higher wages are now paying more than the Federal Government.
The ₦70,000 minimum wage in Nigeria became law on July 29, 2024, when President Bola Tinubu signed the National Minimum Wage Act.
Speaking on Channels Television’s Sunrise Daily on Friday, Ajaero said labour accepted the ₦70,000 minimum wage partly because President Bola Tinubu asked them to consider the financial capacity of state governments.
According to him, the President indicated that he could afford a higher amount but raised concerns about what the states could pay.
“Part of the reason we agreed on 70,000, the president said, and I quote, you know, I can afford to pay 150,000, you know, but the sub-nationals, you have to put them into consideration in deciding, you know, this 70,000 Naira minimum wage and we were keyed into it,” Ajaero said.
The NLC president said the negotiations had reached a deadlock over ₦60,000 before direct talks between labour and the President produced the ₦70,000 agreement.
“That was a negotiation between us and the president directly, not the minimum wage committee,” he said.
However, Ajaero said subsequent wage decisions by state governments had called into question the affordability concerns raised during the negotiations.
He cited Imo State as paying ₦104,000, saying some other states were paying ₦100,000, ₦85,000, ₦84,000 and ₦75,000.
“I think the least could be 72 or more. All the states are paying more than the federal government,” he said.
Ajaero questioned why the Federal Government had retained its rate despite the higher amounts he said states were paying.
He argued that the development warranted a fresh assessment of the Federal Government’s position on workers’ pay.
“So I think it’s incumbent on the federal government to go back to the drawing board and find out what is happening,” he said.
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