At least 20 states across Nigeria have started or are about to begin implementing the new minimum wage, according to recent findings by The Nations.
Following extensive negotiations involving government representatives, the Organised Private Sector, and Labour Centres, the minimum wage was raised from ₦30,000 to ₦70,000.
The agreement was reached on July 18 and subsequently passed into law by President Bola Ahmed Tinubu on July 29 after approval by the National Assembly.
A committee on consequential adjustments, led by the Head of the Civil Service of the Federation, Mrs. Esther Walson-Jack, provided guidelines for implementing the wage increase, and the Federal Government has already begun payment.
Several states have exceeded the federal minimum wage, with Lagos and Rivers offering the highest at ₦85,000, closely followed by Bayelsa, Niger, Enugu, and Akwa Ibom, each paying ₦80,000.
An increase in Federation Account allocation to states, partly due to the removal of the petrol subsidy, has bolstered state finances, with federal, state, and local governments receiving an average of ₦1.1 trillion monthly since June 2023.
Here’s a breakdown of the minimum wage in selected states: Abia, Adamawa, Anambra, Jigawa, and Borno are paying ₦70,000; Ebonyi has set ₦75,000; Delta ₦77,000; Ogun ₦77,000; Ondo ₦73,000; Kogi ₦72,000; and Kwara ₦70,000.
According to Tommy Okon, Deputy Chairman of the Trade Union Congress, any governor not yet on board with the new wage policy lacks sensitivity toward workers’ welfare, especially given the recent revenue boost.
Individual State Updates:
– Bayelsa: Governor Douye Diri not only approved the ₦80,000 minimum wage but also pledged better pensions for retirees starting November 1, alongside a ₦7 billion gratuity release to reduce outstanding liabilities.
– Ebonyi: Governor Francis Nwifuru announced during a chapel service that his administration would implement a ₦75,000 minimum wage, including a ₦40,000 monthly increment for employees on grade levels 3 and above.
– Abia: Information Commissioner Okey Kanu confirmed that the Alex Otti-led government would implement a ₦70,000 minimum wage starting this month, reflecting the administration’s commitment to improving worker welfare.
– Enugu: Governor Peter Mbah, after receiving a report on the minimum wage review, committed to ₦80,000, emphasizing the government’s belief that fair worker compensation contributes to wealth creation.
– Anambra: Governor Chukwuma Soludo committed to a minimum net take-home of ₦70,000, explaining that the gross salary would range from ₦78,000 to ₦84,000 once deductions like union dues and taxes are accounted for.
– Osun: The Minimum Wage Negotiation Committee, led by the Chief of Staff to Governor Ademola Adeleke, will meet again with labour leaders to finalize the wage structure and necessary adjustments.
– Benue: The state is still finalizing negotiations with labour groups, with a committee expected to submit its recommendations on a feasible minimum wage this week.
These adjustments reflect a collective effort by states to meet the new wage benchmark, backed by stronger financial inflows following subsidy reforms, to support worker welfare across the nation.