Federal Government Announces Shorter Review Period For Minimum Wage.
In a significant policy shift aimed at addressing the rising cost of living, the Nigerian government has declared that the national minimum wage will now be reviewed every two years instead of the previous five-year interval.
The Minister of State for Labour and Employment, Nkeiruka Onyejeocha, made this announcement during her visit to Abia State on Friday. She stated, “We are not going to allow minimum wage review to be forever. It used to be about five years, but now, in three years’ time, which is less than two years, we will also review the minimum wage.”
This change comes in response to the escalating inflation rate, which stood at 34.60 percent in November 2024, pushing for more frequent adjustments to ensure workers’ salaries keep pace with economic conditions. The announcement follows a recommendation by the Trade Union Congress for yearly reviews, although the government has settled on a biennial cycle.
The current minimum wage was set at N70,000 last year, with a commitment from the government to regular assessments to reflect economic realities more accurately. By shortening the review period, the government aims to make wage adjustments more responsive to the economic fluctuations workers face.
Minister Onyejeocha expressed optimism about the new policy’s potential to enhance the welfare of Nigerian workers. “This adjustment is crucial for our workforce to maintain a decent standard of living amidst the current economic challenges,” she added.
The policy is expected to be welcomed by the labour unions and workers across the nation, who have been advocating for more dynamic wage adjustments in light of continuous economic pressures.
