Nigeria’s ₦70,000 Minimum Wage Has Lost Value — US Report
THE United States has stated that Nigeria’s recently approved ₦70,000 minimum wage for federal workers has been eroded by the persistent fall of the naira.
In its Country Reports on Human Rights Practices for 2024, published on 12 August by the US Department of State’s Bureau of Democracy, Human Rights, and Labour, the US highlighted that the new wage, equivalent to about $47.90 per month, had been diminished by the exchange rate, with the naira trading at more than ₦1,500 to the dollar.
It also pointed out that companies with fewer than 25 employees were exempted from the wage law.
“The National Minimum Wage (Amendment) Act 2024 doubled the minimum wage to 70,000 naira ($47.90) per month.
“Despite the increase, currency devaluation meant the minimum wage was no longer higher than the poverty income level.
“Many employers had fewer than 25 employees, so most workers were not covered,” the report said.
According to the report, some states have refused to enforce the law on account of financial difficulties, while enforcement remains weak at the federal level.
It added, “The law did not define premium pay or overtime and prohibited excessive compulsory overtime for civilian government employees, stressing that the government rarely effectively enforced minimum wage and overtime, while penalties were low and not commensurate with other crimes such as fraud.”
The US further observed that 70 to 80 per cent of Nigeria’s workforce is in the informal sector, where wage, hour, and occupational safety laws are largely ignored.
On children’s rights, the report flagged ongoing concerns over early marriage despite the federal minimum age being set at 18.
“Federal law sets a minimum age of 18 for marriage for both boys and girls.
“While 35 states, all except Zamfara State, adopted the law, many states, especially northern states, did not uphold the federal minimum age.
“In some states, children as young as 11 could be legally married under customary or religious law.
“The government worked with local and international partners to engage religious leaders, emirs, and sultans on the issue, emphasising the health hazards of early marriage,” the report emphasised.
The document also raised issues relating to insecurity and justice delivery, citing enforced disappearances and unlawful detentions.
It referenced Amnesty International’s position that the fate of “dozens of young men detained at SARS Awkuzu,” a former police facility in Anambra State, remains unknown since the Special Anti-Robbery Squad was disbanded in 2020.
“Police and other security services had the authority to arrest individuals without a warrant if officials reasonably suspected a person committed a crime. Security forces sometimes abused this authority.
“The law required subjects be brought before a magistrate within 48 hours and have access to lawyers and family members.
“According to the law, initial pretrial detention orders were not to exceed 14 days. In some instances, government and security employees did not adhere to this regulation,” it said.
The report added that bail conditions were often inconsistent, with some suspects held incommunicado and at times kept indefinitely in investigative detention.
“In their prosecution of corruption cases, law enforcement and intelligence agencies did not always follow due process, arresting suspects without appropriate arrest and search warrants,” the report stated.
On the judiciary, the report cited prolonged pretrial detention and widespread delays as major obstacles.
“Some detainees were held in pretrial detention for periods equal or exceeding the maximum sentence for the accused crime.
“The shortage of trial judges, trial backlogs, endemic corruption, bureaucratic inertia, and undue political influence seriously hampered the judicial system.
“Some detainees had their cases delayed because the Nigeria Police Force and the Nigerian Correctional Service did not have vehicles to transport them to court.
“Some individuals remained in detention because authorities lost their case files,” the report said.
(Nigerian Tribune)