Nigeria’s Federal Government has issued a stern warning to private sector recruitment agencies: adhere to the new N70,000 minimum wage or face the consequences. This directive, emphasized by the Permanent Secretary of the Federal Ministry of Labour and Employment, Ismaila Abubakar, stresses that paying less than the minimum wage is now a punishable crime.
The government’s push for the new minimum wage aims to address Nigeria’s current economic challenges, ensuring no worker, whether in government or private employment, earns less than N70,000. Abubakar reiterated that private employment agencies must include the minimum wage requirement in contracts, emphasizing that even after deductions, workers should receive at least N70,000.
However, Olufemi Ogunlowo, President of the Employers Association for Private Employment Agencies of Nigeria, seeks clarification on whether the N70,000 minimum wage is net or gross, highlighting the need to address ambiguities in the Act.
Key Points:
- Minimum Wage Enforcement: The Federal Government will strictly enforce the N70,000 minimum wage.
- Consequences for Non-Compliance: Employers failing to implement the minimum wage risk facing punishment.
- Clarification Needed: The government and Nigeria Labour Congress must clarify whether the N70,000 minimum wage is net or gross.
- Commitment to Decent Jobs: The Employers Association for Private Employment Agencies of Nigeria is committed to providing decent jobs and preventing human resource exploitation.
Funmilayo Sessi, Chairperson of the NLC Lagos State Council, emphasized that despite the minimum wage’s insufficiency in current economic realities, private employers must prioritize paying the N70,000 minimum wage, with strict enforcement to follow.
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