NLC Rejects N100,000 Minimum Wage Proposal, Demands N1m

The Nigeria Labour Congress (NLC) has dismissed the proposed N100,000 national minimum wage being considered by state governors, insisting that Nigerian workers should be earning as much as N1 million monthly in line with current economic realities.

The position was stated by the NLC spokesperson, Benson Upah, in an interview with journalists on Sunday, where he reacted to comments attributed to the Chairman of the Nigeria Governors’ Forum and Governor of Kwara State, AbdulRahman AbdulRazaq.

AbdulRazaq had earlier disclosed in a Facebook post on Saturday that governors were considering a new national minimum wage of N100,000, citing inflationary pressures, rising living costs and increasing financial strain on workers across the country.

Governors cite inflation as pressure mounts for review

According to AbdulRazaq, state governments are already engaging the Federal Government and organised labour to develop a wage framework that balances workers’ welfare with the fiscal realities facing subnational governments.

The proposal comes amid growing public debate over the adequacy of the current wage structure following multiple economic reforms that have increased the cost of living.

Nigeria last reviewed its national minimum wage in July 2024, when the Federal Government approved N70,000 after prolonged negotiations with labour unions. However, rising inflation, transportation costs, electricity tariffs and food prices have significantly eroded purchasing power since then.

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Labour says N100,000 is unrealistic

Reacting to the proposal, Upah said while labour appreciates efforts by governors to consider wage adjustments, the N100,000 figure falls far below what Nigerian workers require to survive under present conditions.

“We consider it thoughtful of the Kwara State governor to propose this, but certainly, N100,000 falls far below the realistic figure,” Upah said.

He argued that the current economic environment makes a substantially higher wage unavoidable, citing multiple cost drivers affecting household incomes across the country.

“Given the realities around the exchange rate, inflation, raised tariffs, the surge in the pump price of petrol and associated costs, the decline in the purchasing power of the average worker, and the effects of the new tax regime on our cost of living, the realistic figure, subject to status quo maintenance, would be N1 million,” he stated.

Upah also pointed to improved government revenues as justification for higher wage expectations, referencing inflows into the Federation Account Allocation Committee (FAAC) and other revenue gains.

Revenue debate and government capacity

The labour spokesperson argued that increased government earnings should translate into improved welfare for workers, stressing that the workforce remains central to national productivity.

“In light of the earnings by governments, this should not be a big issue. Check what is being shared at FAAC. The windfall from the Middle East war has put over N5tn in the treasury. Even though this is temporary, it is nonetheless very good for governments,” he added.

He further emphasised that workers should not be treated as expendable in fiscal planning, describing them as the backbone of national development.

“Finally, please note that the greatest asset of any nation is its workforce,” Upah said.

Rising pressure for wage adjustment

The debate over wages has intensified in recent months following subsidy removal on petrol, currency depreciation and broader economic reforms introduced by the Federal Government. These measures have led to sharp increases in transportation, housing and food costs nationwide.

Labour unions have consistently argued that the current minimum wage no longer reflects economic reality, warning that workers are under severe financial pressure despite the 2024 wage increase.

While the Nigeria Governors’ Forum has not officially submitted a formal proposal to the Federal Government or organised labour, discussions around a possible review are expected to continue as economic pressures persist across states.

Segun Lasisi

A Lagos-based journalist with a passion for disseminating factual information and a deep appreciation for good music, good food, movies, and beautiful cars. He hopes to travel the world someday, documenting its beauty and diverse cultures through his storytelling.