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Home Business News

Why the new minimum wage is yet to be effected

Damilare Famuyiwa by Damilare Famuyiwa
September 11, 2018
in Business News, Politics
Minimum wage, NLC, Looting by former governors blocks excuses for new minimum wage 
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The President of the Nigeria Labour Congress (NLC), Comrade Ayuba Wabba has revealed why the new minimum wage is yet to be effected by the Federal Government.

Wabba said the Federal Government was not ready to come up with a figure for an upward review of the minimum wage; even though it admitted and agreed that there was a serious need to increase workers’ salary.

The Labour union president accused  the Federal Government and the Minister of Labour and Employment, Senator Chris Ngige of frustrating and delaying the process.

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Wabba said all works and commitments from stakeholders have since been completed, but the new minimum wage would not be implemented as the Federal Government said there is need to consult.

“Now that the report should have been consummated, some people are saying they need time for consultations. We thought that should not have been the situation because of the importance of the issue to Nigerian workers and the workers can also not continue to be patient.” Wabba added.

Nairametrics had reported that the Federal Government’s new minimum wage suffered a major setback. This was confirmed by the Minister of Labour and Employment, Chris Ngige who had earlier announced when the new minimum wage will commence.

During the 40th anniversary of Nigeria Labour Congress (NLC) in Abuja, the minister had said that the minimum wage will commence before the end of September 2018, with claims that workers will experience a surge in their wages.

According to Ngige, the new wage structure will not commence anytime soon as earlier announced. He added that the setback was because State Governors are yet to submit their proposal on a new wage system.

The Minister maintained that without a proposal from the governors, there cannot be an agreement on a new wage structure.

President Muhammadu Buhari, had in 2017, inaugurated the National Wage Committee led by former minister and Head of Service, Ama Pepple in order to recommend the long-clamour for minimum wage.

The last time minimum wage was reviewed was in 2011. Then, the wage was set at a paltry ₦18,000. It took 10 years to have this benchmark reviewed through a collective bargaining mechanism by the Government and the Labour unions.


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Damilare Famuyiwa

Damilare Famuyiwa

Famuyiwa Damilare is a trained journalist. He holds a Higher National Diploma (HND) in Mass Communication at the prestigious Nigerian Institute of Journalism (NIJ). Damilare is an innovative and transformational leader with broad-based expertise in journalism and media practice at large. He has explored his proven ability in the areas of reporting, curating and generating contents, creatively establishing social media engagements, and mobile editing of videos. It is safe to say he’s a multimedia journalist.

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