President Bola Tinubu has officially signed the minimum wage bill into law, raising the National Minimum Wage from ₦30,000 to ₦70,000. This historic event took place at the State House in Abuja on Monday, just days after the National Assembly passed the Minimum Wage Act, 2019.
The signing ceremony was attended by a delegation from the National Assembly, led by the President of the Senate, Godswill Akpabio, and several members of the House of Representatives.
Following the signing, Basheer Lado, the Special Adviser to the President on Senate Matters, praised the move as a fulfillment of President Tinubu’s campaign promise. “The signing of the minimum wage bill into law by His Excellency, President Bola Ahmed Tinubu is both a promise kept and a demonstration of his people-centric governance model,” Lado stated. “Tinubu promised to pay a living wage to Nigerian workers during his electioneering campaigns and he has kept that promise.”
This significant increase in the minimum wage comes after months of negotiations between the government and labour unions. The unions had pushed for a higher minimum wage following the removal of fuel subsidies and the floating of the naira, which significantly increased the cost of living. Initially, the unions proposed a new minimum wage of ₦494,000, while the government countered with ₦60,000. After several rounds of talks, the unions lowered their demand to ₦250,000, and the government raised its offer to ₦62,000.
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A breakthrough was achieved on July 18, when both parties agreed on a new minimum wage of ₦70,000. Minister of Information, Mohammed Idris, announced the consensus, saying, “We are happy to announce today (Thursday) that both the organised labour and the Federal Government have agreed on an increase on the N62,000 minimum wage. The new national minimum that Mr President is expected to submit to the National Assembly is ₦70,000.”
The new ₦70,000 minimum wage will be reviewed every three years to ensure it remains fair and sustainable. After reaching the agreement, President Tinubu quickly submitted the bill to the National Assembly, which passed it in one day.
Throughout the negotiations, President Tinubu emphasized the importance of paying a sustainable wage. “You have to cut your coat according to the available cloth. Before we can finalise the minimum wage process, we have to look at the structure,” he explained after meeting with labour leaders.
This new law comes at a time when Nigeria is facing soaring living costs. The National Bureau of Statistics (NBS) reported an inflation rate of 34 percent in June 2024. This increase in the minimum wage aims to help Nigerian workers cope with the rising expenses and improve their quality of life.