
Following President Bola Tinubu’s announcement of a new ₦70,000 minimum wage for public workers, Nigerian states have taken varied approaches to implementation, sparking concerns among civil servants. Some states have embraced the policy, offering wages above the federal benchmark, while others remain silent, leaving workers uncertain about their earnings.
As of December 19, 2024, several Nigerian states have announced plans to pay minimum wages above the federal minimum wage of ₦70,000. For instance:
- Lagos State: ₦85,000, with plans to increase it to ₦100,000 by January 2025.
- Rivers State: ₦85,000.
- Ogun State: ₦77,000.
- Gombe State: ₦71,451.15.
- Ondo State: ₦73,000.
- Kogi State: ₦72,500, along with a one-year suspension of tax on the approved sum.
Other states, including Anambra, Katsina, Ebonyi, Adamawa, Borno, Osun, and Benue, have agreed to adopt the ₦70,000 minimum wage. However, some states, like Jigawa, Zamfara, Akwa Ibom, and Bayelsa, have yet to announce any implementation, leaving workers uncertain.
Disappointment Among Oyo Workers
Oyo State, which initially remained silent, recently announced a minimum wage of ₦80,000.26, effective January 1, 2024. While the government considers this fair, many workers have expressed dissatisfaction.
According to Ogbomoso Insight, some workers criticized the wage, comparing it unfavorably to neighboring states like Osun, where the minimum wage is ₦75,000.
“This is dashed hope,” a civil servant told the Insight under anonymity. Another noted, “This amount is bad. It can’t cushion the severe effects of economic hardship facing us in the country.”
Comparison with Other African Nations
PIJAlance takes a closer look at minimum wages in other African nations highlights Nigeria’s struggles. In Seychelles, the monthly minimum wage is approximately $465.4, equivalent to ₦428,415 at the current exchange rate for the unskilled workers. Similarly, Libya has a minimum wage of $321.83 per month, or about ₦296,000.
In contrast, Nigerian civil servants earning ₦80,000 monthly in Oyo State have daily earnings of ₦4,000. Federal workers earning ₦70,000 receive just ₦3,500 daily.
A Daily Trust report has revealed that not even ₦80,000 minimum wage can cater for the monthly expenses of average Nigerian workers.
The report highlights rent, electricity bills, feeding and transportation. The ₦70,000 federal minimum wage in some cities like Abuja and Lagos, can only cover for feeding and transportation.
Economic Challenges in Nigeria
Inflation remains a critical challenge for Nigerian workers, standing at 34.2% in June 2024—a 28-year high and nearly 200% higher than the 11.4% recorded in 2019 when the ₦30,000 minimum wage was implemented.
Although the International Monetary Fund (IMF) projects inflation will drop to 23% in 2025 and 18% in 2026, experts are skeptical. Economist Prof. Sheriffdeen Tella noted, “There are many factors influencing inflation in Nigeria, unlike in countries with stable market forces like the U.S.”
Urgent Need for Reforms
While the new minimum wage offers some relief, it remains insufficient against Nigeria’s rising cost of living. The stark contrast between Nigerian civil servants’ earnings and those in other African nations highlights the need for comprehensive economic reforms to improve workers’ welfare and address economic disparities.
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