Workers Can’t Be Productive With N70,000 Minimum Wage—NECA

The Nigeria Employers’ Consultative Association (NECA) has urged state governments to increase civil servants’ pay beyond the current ₦70,000 minimum wage, arguing that the rising cost of living and improved federal revenues leave no room for further delay.

NECA’s Director-General, Adewale Oyerinde, speaking on Channels Television on Tuesday, emphasized that with increased inflows into the Federation Account, states can no longer justify maintaining the ₦70,000 wage floor, especially as Nigerians face soaring prices for food, petrol, and transportation.

“No state really has an excuse in the context of the current reality to stay at that ₦70,000, especially with people struggling with the price of petrol. While many states are still doing a lot with the CNG buses, we think more still needs to be done,” Oyerinde said.

He highlighted that the issue is not simply about the wage amount but about the purchasing power it represents.

“A lot still needs to be done with the context of food security and shelter. Once you deal with that, the conversation would not really be about minimum wage because the quantum of that ₦70,000 will be able to buy enough for an average household. So, it’s not about the quantum. It’s about what exactly the ₦70,000 can buy,” he explained.

Oyerinde underscored that improving workers’ conditions is critical to enhancing productivity and boosting economic growth.

“Whether in the public or private sector, workers are key drivers of the economy of any state and the private sector. Whatever improves productivity will increase motivation, especially within the context of the reforms ongoing. If you’re hungry, have shelter or transport challenges, hardly would you be productive at work,” he said.

The NECA DG urged state governments to view civil servants as the “engine” that sustains the system and called for urgent action to address their welfare.

“If you see it from that perspective, it becomes important to address the issues concerning that engine. Workers are important, and as the International Labour Organization (ILO) said, workers are not commodities. They deserve dignity and fair treatment,” he stressed.

The call to increase minimum wage comes amid moves by some state governments to raise salaries for their civil servants. In July 2024, President Bola Tinubu signed the National Minimum Wage Act into law, raising the wage floor from ₦30,000 to ₦70,000. Since then, states like Imo and Ebonyi have gone further to boost pay.

On August 27, Governor Hope Uzodimma of Imo State announced a new minimum wage of ₦104,000, while Ebonyi State raised its minimum wage to ₦90,000 a day later.

Workers Can’t Be Productive With N70,000 Minimum Wage—NECA is first published on The Whistler Newspaper