The Senate on Tuesday quickly passed the National Minimum Wage Act 2019 (Amendment Bill), just minutes after it was transmitted by President Bola Tinubu.
The bill, which proposes an increase in the national minimum wage from N30,000 to N70,000, scaled both second and third readings and was passed unanimously by the upper chamber.
Earlier in the day, President Tinubu transmitted the National Minimum Wage Bill to the National Assembly, urging expedited consideration. He also requested lawmakers to reduce the time for periodic review of the national minimum wage from five years to three years and address related matters.
Last Thursday, a truce was reached between the government and the leadership of the Organised Labour, agreeing on N70,000 as the new minimum wage for Nigerian workers.
This agreement followed a series of negotiations between labour leaders and the President, after months of unsuccessful talks between labour organs and a tripartite committee on minimum wage constituted by President Tinubu in January.
The committee, which included representatives from state and federal governments as well as the Organised Private Sector, had initially proposed N62,000 while labour insisted on N250,000 as the new minimum wage for workers currently earning N30,000.
Labour had argued that N30,000 was unsustainable for any worker due to the economic vagaries of inflation and the high cost of living following the removal of the petrol subsidy by the President.
Despite its initial demand for N250,000, Labour accepted the President’s offer of N70,000. Nigeria Labour Congress (NLC) President Joe Ajaero said Labour accepted the N70,000 offer and rejected a proposal by President Tinubu to pay N250,000 minimum wage on the condition of increasing petrol prices.
He also noted that Labour agreed to the N70,000 offer because the minimum wage would now be reviewed every three years instead of once every five years.
The transmission of the wage bill came about six weeks after President Tinubu announced in his Democracy Day speech on June 12, 2024, that an executive bill on the new national minimum wage for workers would be sent to the National Assembly for passage.
This swift legislative action marks a significant step towards improving the living standards of Nigerian workers and reflects the government’s commitment to addressing the economic challenges faced by its citizens.