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Paying Workers Less Than ₦70,000 minimum wage Is a Punishable Crime – FG Warns Private Sector

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September 19, 2024
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The Federal Government has issued a firm directive that no employee, whether in the public or private sector, should be paid less than the newly set minimum wage of ₦70,000. It warned that any employer who fails to comply with this regulation is committing an offense and may face legal consequences.

This was emphasized by the Permanent Secretary of the Ministry of Labour and Employment, Kachollom Daju, during the 13th Annual General Meeting of the Employers Association for Private Employment Agencies of Nigeria, which took place in Ikeja, Lagos.

Represented by John Nyamali, the Director of Employment and Wages at the ministry, Daju highlighted the importance of adhering to the new wage law, stating, “The minimum wage is now legally binding, and paying any employee less than ₦70,000 is a punishable offense.” She further urged private employment agencies to ensure that their contracts with employers reflect this wage standard.

“The lowest-paid worker in Nigeria must receive at least ₦70,000, after any necessary deductions. The minimum wage is a legal requirement, and non-compliance could result in imprisonment. The Federal Government is dedicated to ensuring that all workers are compensated fairly,” she added.

During the event, Dr. Olufemi Ogunlowo, President of the Employers Association for Private Employment Agencies of Nigeria, urged the government and the Nigeria Labour Congress (NLC) to clarify whether the ₦70,000 minimum wage refers to net or gross earnings. He emphasized that all unclear aspects of the wage law should be addressed.

Ogunlowo reiterated the association’s commitment to the minimum wage, stating, “As a labor organization in the private sector, we fully support the implementation of the minimum wage. We adhere to legal guidelines, and our members and clients are already aligned with the ₦70,000 wage. However, the government and NLC must provide clarity on whether the wage is net or gross to eliminate any confusion.”

Tags: ₦70DrivetvnewsEconomic PolicyEmploymentFederal governmentLabour lawsMinimum wage enforcementNigeria Labour CongressPrivate sectorWage complianceWorkers' rights
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