FG Issues Circular on N70,000 New Minimum Wage, Arrears Commence July 29
•NACCIMA commends decision, decries threat of imprisonment
Emmanuel Addeh, Onyebuchi Ezigbo and Olawale Ajimotokan in Abuja
The federal government has formally approved the implementation of the N70,000 new minimum wage for federal public servants.
In a circular letter dated September 23, 2024 and signed by the Chairman and Chief Executive Officer of the National Salaries, Incomes and Wages Commission, Ekpo Nta, the government said that payment of the arrears of the new minimum wage will commence from July 29, 2024.
The new minimum wage was slated to take effect from the May 1, 2024, with the old one having expired in April 2024.
However, the legislation introducing the new rate was passed into law on July 29, 2024 without backdating the implementation date.
In the circular titled: The Implementation of the New National Minimum Wage in Federal Public Service – the Consolidated Public Service Salary Structure (COMPSS), government said: “Consequent upon the enactment of the National Minimum Wage (Amendment) Act 2024, the President of the Federal Republic of Nigeria has approved the revision of the Consolidated Public Service Salary Structure with effect from 29th July, 2024.”
The commission also issued along with the circular, a salary table showing how the new minimum wage adjustment will be computed.
The minimum wage implementation circular was addressed to all the heads of the various sectors under federal public service.
Meanwhile, the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) yesterday commended the federal government’s decision to commence the payment of the new minimum wage of N70,000 to workers in the country.
In a statement, the National President of NACCIMA, Dele Oye, expressed concerns about the threat of imprisonment for defaulters, describing the decision as unhelpful.
According to him: ‘‘NACCIMA commends the federal government’s decision to commence the payment of the new minimum wage of N70,000. However, we express concerns about the threat of imprisonment for defaulters as this is unhelpful.”
The NACCIMA boss said that the organisation expects state and local governments that have not yet implemented the new minimum wage to do so
However, it stated the government should engage with stakeholders, including the labour unions, in a collaborative manner to address the complaint of labour regarding the alleged breach of contract on the increase in the price of fuel and the economic challenges facing businesses and workers.
