Employers Paying Below N70,000 Face Legal Consequences, Warns Federal Government

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The Federal Government has issued a stern warning to private sector employers regarding compliance with the newly established N70,000 minimum wage, stating that any failure to adhere to this regulation could result in legal repercussions.

In a recent address at the 13th Annual General Meeting of the Employers Association for Private Employment Agencies of Nigeria, held in Ikeja, Lagos, Alhaji Ismaila Abubakar, Permanent Secretary of the Federal Ministry of Labour and Employment, emphasized the need for all employers to align with this wage standard. He was represented at the event by John Nyamali, the ministry’s Director of Employment and Wages.

Abubakar remarked, “The minimum wage is now enshrined in law, making it a punishable offense for employers to pay any worker less than N70,000. It is imperative that private employment agencies incorporate this wage into all contracts with their clients.”

He further stated, “Every worker in Nigeria should receive no less than N70,000 after all deductions. The Federal Government is resolute in its commitment to ensure that even the lowest-paid workers earn this amount.”

In response, Dr. Olufemi Ogunlowo, President of the Employers Association for Private Employment Agencies of Nigeria, urged the government and the Nigeria Labour Congress (NLC) to clarify whether the N70,000 figure is intended as a net or gross wage. He highlighted the need for transparency regarding any ambiguities in the legislation.

Ogunlowo reassured attendees of the association’s dedication to upholding the minimum wage and promoting fair employment practices. “We are committed to providing decent jobs and protecting workers from exploitation. However, clarity on the wage specification is crucial,” he said.

Funmilayo Sessi, Chairperson of the NLC Lagos State Council, echoed these sentiments, pointing out the pressing economic challenges faced by workers. She called for immediate compliance with the minimum wage, stating, “Given the current economic climate, N70,000 is hardly sufficient. We expect all agencies to start implementing this wage promptly, and the NLC will ensure strict enforcement.”

Sessi urged EAPEAN to collaborate rather than confront the NLC regarding the wage issue, emphasizing the importance of unity in addressing workers’ rights.

 

 

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