Why There’s Delay in Minimum Wage Payment – Labour

Organized Labour has urged Nigerians to exercise patience regarding the implementation of the new N70,000 minimum wage.

The delay, according to the Labour leaders, is not a result of the Federal Government’s negligence but is due to the necessary processes involved in ensuring proper implementation across the country.

Speaking on the matter, the Deputy President of the Nigeria Labour Congress (NLC) Political Commission, Prof. Theophilus Ndubuaku, explained that while President Bola Tinubu signed the new minimum wage into law on July 29, 2024, the process of implementation is far from simple.

He emphasized that it would be unfair to assume that there is a deliberate attempt to withhold the new wage.

According to Ndubuaku, only a few states have so far established implementation committees to start paying the new wage. As of now, only seven states—Kano, Kwara, Ogun, Borno, Jigawa, Ondo, and Abia—have begun this process.

Lagos and Edo have already started disbursing the new minimum wage to workers, while Adamawa recently joined the list of states that have committed to paying the wage.

Despite the delay, Ndubuaku remains optimistic. He pointed out that the signing of the new wage law is only one part of a larger process.

The real challenge lies in the “consequential adjustments,” which involve calculating the appropriate wages for each worker, from the lowest levels to the top.

He said, “We have no reason to suspect that (deliberate delay). In a real sense, signing the wage is just a small component of the main activity. There is something we call consequential adjustment. That involves the calculation of the minimum wage from level one, step one. From there, we will move from stage one to 13 all the way to level 16.

“So it is something that may take some time. Again, they are not going to compile them alone. There are templates for compiling it. But they must also carry us along. I believe you are aware there is a committee that is supposed to carry out the necessary adjustments. We expect it should be completed before the end of the month.”

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