The Nigeria Governors' Forum (NGF) has proposed a new national minimum wage of N100,000, sparking debate on workers' welfare and constitutional wage-setting procedures. Labour leaders argue that governors lack the legal authority to unilaterally fix a national minimum wage.
Governors' Proposal
NGF Chairman and Kwara State Governor AbdulRahman AbdulRazaq urged President Bola Tinubu to support raising the minimum wage to N100,000, noting that many states already pay close to that amount. He emphasized the need to improve workers' welfare while ensuring state governments remain financially capable.
Labour's Rejection
Organised labour swiftly rejected the proposal, describing it as premature and unconstitutional. The Joint National Public Service Negotiating Council (JNPSNC) called it a charade, insisting that wage determination must follow the statutory tripartite process involving labour, employers, and government.
Economic Context
Workers argue that the current N70,000 minimum wage, approved in 2024, has been eroded by inflation, fuel subsidy removal, rising electricity tariffs, and food inflation. The JNPSNC has proposed N154,000, while some advocate for a wage system tied to inflation.
Private Sector Concerns
The organised private sector cautioned against expecting automatic matching of the N100,000 wage, as many SMEs struggle with high operating costs. The Nigeria Employers' Consultative Association (NECA) stressed that wage figures must be backed by empirical analysis and stakeholder consensus.
Expert Views
Economic experts like Dr. Muda Yusuf noted that wage realities differ across sectors, with industries like banking already paying above N100,000, while agriculture and hospitality struggle. The debate underscores the need for a balanced approach to improve workers' welfare without overburdening employers.
Conclusion
At the heart of the controversy is the question of process and legality. Until the statutory review process begins, the NGF's proposal remains a political suggestion, not a binding policy. Stakeholders agree that workers deserve better compensation, but the method of determination remains contentious.
