Minimum Wage: NLC, FG Clash Over Timing of Fresh Wage Review

The Federal Government and the Nigeria Labour Congress (NLC) have disagreed over when negotiations for a new national minimum wage should begin, with organised labour insisting that the process must commence immediately.

The dispute followed an exchange of letters between the Minister of Labour and Employment, Dr Muhammad Dingyadi, and NLC President, Joe Ajaero, over the review of the N70,000 minimum wage signed into law in July 2024.

In a letter dated October 13, 2026, Ajaero faulted the government’s position that it was too early to begin another review, arguing that the timetable provided under the original National Minimum Wage Act, 2019, remained relevant despite the subsequent amendment.

The NLC president urged the government to initiate the process by requesting nominations and inaugurating the National Minimum Wage Tripartite Committee, comprising representatives of the government, organised labour and employers.

“The time is now. The appropriate time is now,” Ajaero wrote in the letter shared on Thursday, warning that further delays would worsen the economic hardship confronting Nigerian workers.

His position followed a letter dated October 12, in which Dingyadi acknowledged receipt of a communiqué issued after a joint meeting of the NLC’s Central Working Committee and National Executive Council.

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The minister maintained that the current minimum wage would become due for review on June 1, 2027, arguing that commencing a fresh review barely two years after the implementation of the N70,000 wage could be premature and disruptive to industrial relations.

The disagreement comes amid growing pressure from organised labour over rising living costs and the declining purchasing power of workers’ salaries.

In an Independence Day statement issued on October 1, the NLC demanded an immediate reduction in petrol prices, a nationwide wage award and the commencement of negotiations for a new minimum wage.

The statement, signed by Ajaero and titled “Our Hope Depends on the Choices We Make and the Actions We Take,” highlighted the rising costs of transportation, food, rent and education as factors eroding workers’ earnings.

The union also called for the implementation of tax relief measures agreed upon with the Federal Government in October 2023, insisting that workers should not continue to shoulder the burden of rising living costs without additional support.

Among its demands, the NLC urged the government to reduce petrol prices to the levels prevailing when the current minimum wage was signed into law in 2024, begin negotiations for a new wage before the end of October and implement outstanding agreements with health and public sector workers.

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It warned that failure to address the demands within the stipulated period could force it to take further action as directed by its relevant organs.

Explaining the union’s position, Ajaero said the National Minimum Wage Act, 2019, signed on April 18 of that year, had envisaged a review by April 2024.

He argued that the 2024 amendment did not erase the original timetable, maintaining that a new minimum wage should take effect by April 17, 2027, under the timeline advanced by organised labour.

According to the NLC president, negotiations should begin at least six months before the deadline to allow sufficient time for consultations and administrative preparations, while preventing the accumulation of wage arrears.

On that basis, the union insisted that the process should commence by October 17, 2026.

Ajaero stressed that labour was not demanding the immediate implementation of a new minimum wage but was asking the government to begin the necessary administrative procedures and negotiations.

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Dingyadi, however, maintained that the National Minimum Wage Act, 2019, as amended by the National Minimum Wage (Amendment) Act, 2024, provides for a review every three years, a position that places the government at odds with the NLC over the appropriate timetable for fresh negotiations.