In July 2024, President Bola Tinubu made a significant decision to raise the minimum wage for Nigerian workers from N30,000 to N70,000, aimed at alleviating the economic struggles faced by employees across the nation. However, the execution of this wage increase has been inconsistent among the states, with several yet to adopt the new federal mandate. While some states have pledged compliance, others have gone beyond the federal requirements, announcing higher minimum wages to meet the living costs and economic demands in their regions. This divergence in implementation reflects the varying economic capacities of the states and their commitment to enhancing the welfare of their workers.
On October 16, 2024, Lagos State emerged as a frontrunner in this movement by Governor Babajide Sanwo-Olu, who proclaimed an increase in the minimum wage to N85,000, which is N15,000 above the federal threshold. Emphasizing the high cost of living in Lagos, Sanwo-Olu also set a goal to push the minimum wage to N100,000 by January 2025, demonstrating a proactive approach to support the workforce. This decision underlined the state’s economic realities and willingness to invest in the welfare of its workers despite the prevailing challenges of inflation and living costs.
Rivers State followed suit on October 18, 2024, with Governor Siminalayi Fubara announcing a new minimum wage of N85,000 for civil servants, signaling a growing trend among states to adopt more generous compensation structures. Similarly, on October 15, Governor Dapo Abiodun of Ogun State approved a minimum wage of N77,000, complemented by a prior agreement with the Nigeria Labour Congress to adjust the minimum wage to N71,451.15. Furthermore, Governor Lucky Aiyedatiwa of Ondo State declared a minimum wage of N73,000 during his campaign event, indicating a concerted effort by governors to prioritize the financial wellbeing of their civil service, especially in light of impending elections.
Kogi State also made headlines when Governor Usman Ododo approved a minimum wage of N72,500, which included a suspension of tax on the new wage for a year, providing immediate financial relief for civil servants in the state. These decisions reflect a broader acknowledgment of the growing economic burden faced by workers and a willingness by state governments to take decisive action in support of their employees.
Several states have publicly committed to the N70,000 minimum wage, including Anambra, with Governor Chukwuma Soludo announcing its implementation from October 2024, and Katsina. Other notable states supporting this wage include Ebonyi, Adamawa, and Oyo, with local governors indicating their intentions to start payments as soon as necessary adjustments had been made. Borno State’s Governor Babagana Zulum also confirmed the commencement of the new wage payment from October 2024. Meanwhile, Osun and Benue States expressed readiness to adopt the federal minimum wage, showcasing a gradual but widespread acceptance of the new salary mandate across various regions.
Conversely, there remain states that have yet to announce or implement the new minimum wage, creating disparities that highlight the challenges ahead. States like Jigawa, Zamfara, Akwa Ibom, and Bayelsa have lagged in adopting the new wage, prompting concerns about their workers’ welfare and financial stability. This inconsistency in enacting the wage increase raises questions about the balance of economic capabilities among different states in Nigeria and the overall effectiveness of federal decrees in addressing regional economic disparities.
Overall, the response to the new minimum wage illustrates both the diversity of governmental approaches to labor rights and the socio-economic realities facing Nigerian workers. While many states have taken commendable steps to increase compensation amid rising living costs, others face criticism for their sluggishness in implementing federally mandated changes. As these discussions continue, the commitment of state governments to prioritize the livelihoods of their workers will be paramount in fostering a more equitable economic environment across Nigeria, thus reducing disparities between different regions and ensuring fair compensation for labor. The outcomes of these developments will likely significantly impact the socio-economic landscape in Nigeria in coming months.
