Minimum Wage: Private employers paying less than N70,000 could face jail time – FG Warns
The Federal Government has demanded that recruiting organizations working in the private sector pay their employees the N70,000 minimum salary, threatening jail time for noncompliance.
Recall that the Bola Tinubu administration had implemented the new minimum wage as a way to tackle the current economic reality, stating that no Nigerian worker, whether in government or private employment, should be paid less than the minimum wage.
On Wednesday, during the 13th Annual General Meeting of the Employers Association for Private Employment Agencies of Nigeria in Lagos State, Ismaila Abubakar, the Permanent Secretary of the Federal Ministry of Labour and Employment, provided clarification.
Abubakar, who was represented by the Director of Employment and Wages of the ministry, John Nyamali, said, “The minimum wage is now a law, and as a result, it is a punishable crime for any employer to pay less than N70,000 to any of its workers.
“The private employment agencies should make it compulsory in any contract they take from their principal that their workers should not earn less than the minimum wage. The least paid worker in Nigeria should earn N70,000, and I think that should be after all deductions.
“The minimum wage is a law, and you can be jailed if you fail to implement it. The Federal Government is committed to ensuring that the least paid worker goes home with N70,000.”
Dr. Olufemi Ogunlowo, President of the Employers Association for Private Employment Agencies of Nigeria (EAPEAN), stated in his remarks that all ambiguities in the Act should be highlighted and explained.
He asked the government and Nigeria Labour Congress to clarify whether the N70,000 minimum wage is net or gross.
According to Ogunlowo, the EAPEAN is already committed to the minimum wage, providing decent jobs for Nigerians, and guarding against the exploitation of human resources.
“As an employers union in the private sector, we are committed to implementing the minimum wage. We are a law-abiding and guided association. Our principals and clients have also keyed into the minimum wage.
“However, the government must clarify whether the N70,000 minimum wage is net or gross. The government and NLC should address all ambiguities in the minimum wage,” he stated.
Speaking at the programme, the Chairperson of the NLC, Lagos State Council, Funmilayo Sessi, said the prevailing hardship had made a mess of whatever income any worker was earning in Nigeria, calling on private employers to ensure the payment of the N70,000 minimum wage.
She said, “The N70,000 isn’t enough in the current economic realities. By the time the consequential adjustment is concluded, all private employment agencies should immediately start paying their workers the N70,000 minimum wage.
“The NLC in Lagos State will see to the strict enforcement of the minimum wage. EAPEAN should avoid confrontation with the NLC on the minimum wage.”
