Failure to pay N70,000 minimum wage to workers risks jail term– FG Tells Private sector

By Ugbede James

The Nigerian says it’s criminal for any employer to pay below N70000 minimum wage to workers in Nigeria

Government has said that any employer of labour in the country must not pay below the N70,000 minimum wage law, warning that it’s a criminal offence.

The Permanent Secretary, Federal Ministry of Labour and Employment, Alhaji Ismaila Abubakar, stated this while speaking at the 13th Annual General Meeting of the Employers Association for Private Employment Agencies of Nigeria, held in Ikeja, Lagos.

According to him any company that fails to pay at least N70,000 to its employee could be jailed.

His words: “The minimum wage is a law, and you can be jailed if you fail to implement it.

Abubakar, who was represented by the Director of Employment and Wages of the ministry, John Nyamali, said: “The minimum wage is now a law, and as a result, it is a punishable crime for any employer to pay less than N70,000 to any of its workers.

“The private employment agencies should make it compulsory in any contract they take from their principal that their workers should not earn less than the minimum wage. The least paid worker in Nigeria should earn N70,000, and I think that should be after all deductions”.

In response, Dr. Olufemi Ogunlowo, President of the Employers Association for Private Employment Agencies of Nigeria, asked for clarification on whether the N70,000 wage applies net or gross, adding, “We are already committed to the minimum wage and providing decent jobs for Nigerians while preventing the exploitation of human resources.”

Funmilayo Sessi, Chairperson of the Lagos State chapter of the Nigeria Labour Congress (NLC), urged prompt implementation of the wage.

“The N70,000 isn’t sufficient in today’s economic realities. Once the consequential adjustment is finalized, all private employment agencies must begin paying their workers the N70,000 minimum wage.”

Tinubu signed a new national minimum wage of N70,000 into law on Monday, July 29, 2024, from the initial N30,000.

This decision followed a series of negotiations where the Tripartite Committee, which includes representatives from Organised Labour, the private sector, and the federal government, failed to reach a consensus.