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N30,000 Minimum Wage now legal

by CredibleNews

The Senate has approved N30,000 as the new national minimum wage with a plea to the Executive to implement the new wage regime promptly and stave off renewed agitation by  organized labour.

Acting Chairman of the Senate ad-hoc committee on National Minimum Wage Bill, Senator Francis Alimikhena, while delivering the report, also said a fine of N75,000 has been imposed on firms that refuse to comply with the new law.

The panel also recommended the urgent review of the revenue-sharing formula to enable states pay the new minimum wage.

The committee urged the minister of finance and that of budget and national planning to compute and forward to the National Assembly for inclusion in the 2019 budget, the actual amount required for the new minimum wage.

Leader of the Senate, Ahmad Lawan, wondered why the fine for non-compliance jumped from N5,000 as recommended by the executive to N75,000.

He commended the federal government for fulfilling its promise to workers and urged the organised labour to reciprocate the gesture by being more productive.

Senator James Manager decried the fact that some state governments were unable to pay the N18,000 minimum wage.

Minority Leader, Biodun Olujimi, noted that the review of the revenue-sharing formula would enable more state governments to pay the new wage.

Under the current sharing arrangement, the federal government takes 56 percent, states receive 24 percent, while local governments share the remaining 20 percent.

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