The Nigeria Labour Congress has rejected the proposal by the Nigeria Governors’ Forum suggesting a new national minimum wage of N100,000, insisting instead that a realistic living wage under Nigeria’s current economic conditions should be as high as N1 million.
The position of the NLC was made known by its spokesperson, Benson Upah, in an interview with The PUNCH on Sunday.
His reaction followed remarks by the NGF Chairman and Governor of Kwara State, AbdulRahman AbdulRazaq, who disclosed that governors were considering a new minimum wage benchmark of N100,000.
AbdulRazaq, while speaking during the Sallah homage to President Bola Tinubu in Lagos, said state governors were already engaging the Federal Government and organised labour to arrive at a wage structure that would balance workers’ welfare with fiscal sustainability.
In a Facebook post on Saturday, the governor further stated that the proposal was informed by rising inflation, increasing cost of living and the growing financial pressure on Nigerian workers.
Reacting to the proposal, Upah acknowledged that the idea of a wage review was commendable but insisted that the proposed N100,000 was far below what workers required to survive under current economic realities.
“We consider it thoughtful of the Kwara State Governor for proposing this, but certainly, N100,000 falls far below or behind the realistic figure,” he said.
The labour spokesman explained that persistent depreciation of the naira, rising inflation, increased electricity tariffs, higher fuel prices, declining purchasing power and new tax policies had all made a much higher wage necessary.
“Given the realities around the exchange rate, inflation, raised tariffs, surge in the pump price of petrol and associated costs, decline in the purchasing power of the average worker, effects of the new regime of taxes on our cost of living, the realistic figure, subject to status quo maintenance, would be N1m,” he stated.
Upah further argued that government revenues had increased significantly and should be used to improve workers’ remuneration.
“In light of the earnings by governments, this should not be a big issue.
“Check what is being shared at FAAC. The windfall from the Middle East war has put over N5tn in the treasury. Though this is temporary, it is nonetheless very good for governments,” he added.
He also emphasised that the workforce remains the most valuable asset of any nation and must be adequately compensated to enhance productivity and economic growth.
“Finally, please note that the greatest asset of any nation is its workforce,” he said.
The wage debate has continued to intensify in Nigeria amid worsening economic conditions following the removal of fuel subsidies and the floating of the naira by the Federal Government.
In July 2024, the Federal Government approved a new national minimum wage of N70,000 after extended negotiations with organised labour.
Before the agreement, labour unions had demanded a much higher wage, insisting that inflation had severely eroded workers’ purchasing power.
Although the Federal Government initially proposed lower figures, negotiations eventually led to the N70,000 benchmark, replacing the previous N30,000 minimum wage signed into law in 2019.
Despite the increase, labour leaders have consistently maintained that the current wage remains insufficient due to persistent inflation and rising living costs.
Data from the National Bureau of Statistics continues to show elevated food and headline inflation rates, with many workers struggling to meet basic household needs despite the wage adjustment.
The Nigeria Governors’ Forum is yet to formally present any official proposal on a new minimum wage framework to the Federal Government or organised labour.
