The year the Nigerian organised labour movement faced a top issue of minimum wage. The recent cost of living has caused many to react, and the general public is currently demanding a review of the national minimum wage, which is N30,000 a month. In an interview, Adejuwon Soyinka asked Stephen Onyeiwu if the minimum wage protects workers from property.
It all began in 1974 when the Nigerian Government followed the suggestion of the Udoji Commission and decided to increase workers’ wages. However, the only beneficiaries were the public sector workers. However, in September 1981, the first Nigeria’s minimum wage law was introduced. The law covered all full-time workers except those working in enterprises that employ less than fifty workers.
The introduction of the minimum wage law was caused by a majority of actions. The Nigerian Labour Congress, under the leadership of Hassan Sunmonu, was serious about the demand for workers’ welfare. The organisation often demanded to go on strike if its demand for a minimum wage was not met. During the governmental regime of Shehu Shagari, there was a national strike.
The first minimum wage was 125 naira per month in 1981. The exchange rate of US$1=0.61 naira amounted to US$204. In 2024, the minimum wage would be equivalent to about 265,00 naira (US$204) per month, moving along with the current exchange rate of about US$1=1,300 naria. This has revealed that the minimum wage as of 1981 beats the current minimum wage.
The history of the minimum wage in Nigeria is a story of disparity. Despite numerous reviews and adjustments, it has consistently fallen short of meeting the rising cost of living. This disparity, which has only grown over time, highlights the ongoing struggle for economic justice in the country.
Who is affected by changes to the minimum wage?
When you talk about people mostly affected by the increase in the minimum wage, the Nigerian Labour market has two segments in which the public-sector workers are the most affected by an increase in the minimum wage. The reason for this is that all public-sector workers are unionized, and the government can not break its own laws.
However, not all Nigerians are affected by the changes in Minimum wage . This is because 92.3% of the population are are employed in informal sectors. For example, farmers, service providers and traders.
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