The Federal Executive Council (FEC) of Nigeria has opted to postpone deliberations on the new wage proposal.
This decision aims to allow President Bola Tinubu to conduct further consultations with key stakeholders, as announced by Minister of Information and National Orientation, Mohammed Idris, during a briefing with State House correspondents on Tuesday.
“The President has reviewed the report submitted by the Tripartite Committee on Minimum Wage and will engage in additional consultations before presenting a final recommendation to the National Assembly,” Minister Idris stated.
The journey towards a revised minimum wage has been fraught with challenges. The current Minimum Wage Act of 2019, which set ₦30,000 as the minimum wage, expired in April 2024, necessitating a review to align with current economic conditions.
President Tinubu had earlier established a Tripartite Committee in January to negotiate a new wage, comprising representatives from Organised Labour, federal and state governments, and the Organised Private Sector. Despite efforts, the committee failed to reach a consensus, prompting labour to declare an indefinite strike starting June 3, 2024, disrupting key sectors nationwide.
“The current ₦30,000 minimum wage no longer meets the economic realities faced by Nigerian workers,” stated labour unions, citing inflationary pressures and government policies impacting living standards.
Labour temporarily suspended the strike on June 4, 2024, following assurances from President Tinubu of a commitment to a wage exceeding ₦60,000. Negotiations resumed thereafter, with both sides revising their proposals multiple times. However, as of June 7, 2024, an agreement remained elusive.
Both labour and government representatives have now submitted their reports to President Tinubu, who is expected to make a final decision. An executive bill outlining the proposed new minimum wage is anticipated to be forwarded to the National Assembly for approval.
In his recent Democracy Day address on June 12, 2024, President Tinubu reiterated his dedication to finalizing the minimum wage issue, promising swift action in the legislative process.
