The Chairman of BUA Group, Abdul Samad Rabiu, has announced a 50% salary raise for all employees.
BUA’s Head of Human Resources, Mr. Mohammed Wali, signed an internal memo on Sunday in Lagos that confirmed this decision.
In the memo, Rabiu made it clear that the goal of the pay modification is to lessen the country’s ongoing economic difficulties.
The increase will take effect on February 1, 2024, and it will affect both permanent and non-permanent employees.
“The Human Resources and Finance departments are processing the increase to ensure that it is captured in the February 2024 payroll, sequel to the above development,” the statement read.
“With this generous act, it is anticipated that we will be more dedicated to our responsibilities and do everything in our power to deserve the trust placed in us.”
As of January 2024, Nigeria’s inflation reached an all-time high of 29.90%, ending a 13-month trend of increases. The cost of food and transport, which accounts for the majority of Nigeria’s spending, is the main driver of inflation.
Companies have recently had to raise wages in order to help Nigerians cope with the effects of increasing inflation. A few companies, primarily banks, raised employee pay in an effort to mitigate the impact of the removal of fuel subsidies last year.
In order to negotiate a minimum wage increase for the country in the wake of the prevailing cost of living crisis, the federal government has established a minimum wage review group.
Nonetheless, the federal government started paying N35,000 wage awards last year in order to supplement the incomes of federal employees following the removal of the fuel subsidy. However, there has been irregularity in the payment.
The Nigerian Labour Congress Chairman recently proposed a minimum salary of N1 million, arguing that it is warranted given the current state of the country’s economy.
