May Day: Stalled Negotiations May Thwart Minimum Wage Hike

Negotiations for a new national minimum wage have hit a standstill, leaving workers in limbo amid economic hardship and widespread suffering. Findings by NATIONAL ECONOMY showed that the delay, reportedly caused by the federal government, has dashed hopes for a pay rise ahead of the 2024 May Day celebrations.

Abia, Taraba, and Zamfara states are still allegedly in breach of the 2019 National Minimum Wage Act, which set the minimum wage at ₦30,000, up from ₦18,000.

The Tripartite Committee on the New National Minimum Wage last met in the first week of April to receive reports from public hearings held across the country in early March. However, negotiations have not progressed since then.

While Organised Labour has proposed a minimum wage of ₦615,000, the Organised Private Sector has also submitted its proposal. However, there’s uncertainty about whether the government has submitted its proposal.

The National Salaries, Income, and Wages Commission, serving as the secretariat to the Tripartite Committee, has not set a new date for negotiations since the April meetings coincided with public holidays.

Blaming the government for the delay, a labour leader stated that until the government convenes a meeting, progress cannot be made.

The director-general of the Nigeria Employers’ Consultative Association confirmed that real negotiations have not started, indicating that the parties are awaiting the reconvening of the committee.

As negotiations remain on hold, parties are collating data on various factors affecting wages, including socioeconomic trends and recent hikes in electricity tariffs.

Meanwhile, Organised Labour may adjust its minimum wage demand following the recent 300 per cent increase in electricity tariffs, which has impacted the economic landscape.

Previously, the NLC had demanded various figures for each zone, with the highest being ₦850,000. However, the recent tariff hike has prompted a reconsideration of these figures.

Despite the setback in negotiations, labour leaders remain determined to ensure that the new minimum wage takes effect by April 2024, even if it cannot be announced by May Day.