Rita Odafe
Labour Groups Advocate for Minimum Wage Hike in Nigeria
Organized Labour is calling for an increase in Nigeria’s recently set minimum wage of ₦70,000 for employees.
They insist on annual wage adjustments to better align with inflation rates each year.
“Our stance is that instead of waiting five years for a minimum wage increase, the government should adjust wages based on inflation from the prior years on an annual basis,” stated TUC leader Festus Osifo during an interview on Channels Television’s Politics Today on January 1, 2025.
The TUC president noted that discussions among TUC members and their counterparts in the Nigeria Labour Congress (NLC) have already commenced.
“As we enter 2025, the National Bureau of Statistics will release December’s inflation data on January 15, 2025,” he elaborated.
“If, hypothetically, inflation is recorded at 35%, we propose applying that percentage to the ₦70,000 minimum wage so that it accurately reflects its value,” he added.
“This process should continue into 2026, ensuring we are not delaying wage adjustments unnecessarily,” he stressed.
“The current law allows for adjustments every three years; however, we recommend a systematic annual adjustment based on December’s inflation rates,” he argued.
“This will be a key point in our advocacy this year, building on discussions that began last year and continuing through 2025.”
In July 2024, after extensive negotiations, the Federal Government and labor unions settled on the ₦70,000 minimum wage, which received approval from President Bola Tinubu.
This new wage represents a significant increase from the previous rate of ₦30,000, last updated five years ago. Amidst rising living costs due to substantial energy price increases and the petrol subsidy removal, labor unions argue that ₦70,000 is insufficient for workers to maintain a decent standard of living.
