Scheduled to replace the expiring N30,000 minimum wage at the end of March 2024, the government plans to allocate N24.66 trillion for salaries over the years 2024, 2025, and 2026. The decision follows President Bola Tinubu’s removal of the fuel subsidy in May 2023, leading to a temporary N35,000 payment to each worker.

Negotiations are underway between the Federal Government and labour unions, with the National President of the Nigeria Labour Congress, Joe Ajaero, emphasizing the legal requirement for a minimum wage review in 2024.

A top official of the NLC, in an interview with Punch, said the organised Labour had initiated talks with the government

He said, “By April 1, 2024, the current minimum wage will expire. We have all agreed to set up a national wage negotiation committee, and that the committee should comprise all parties.”

Also, the Head of Information of the NLC, Benson Upah said, “The new minimum wage is to come into effect next year.”

Minister Mohammed also noted that the new wage is intended to replace the temporary relief provided after the fuel subsidy removal.

He said, “Certainly, there is a new wage regime that will come in on April 1, 2024. That is why these palliatives were targeted so they would cushion economic hardship before then. In our negotiation with Labour, we said that the wage issue was not something one could just fix. A committee that will also involve Labour itself will work on it.

“The committee is being constituted and we are talking to Labour about it. And by the time this current wage regime expires by the end of March, we will expect that a new wage will begin by April. It is in this wage regime that we will now have a proper salary structure for workers across the length and breadth of Nigeria. We expect that the private sector and state governors will also do the same.”