NATIONAL MINIMUM WAGE ACT

An Act that establishes a national minimum wage floor for workers. It targets employers with 25 or more employees and trade unions to enforce compliance. This protects vulnerable workers from poverty wages.

What Is This Policy?

The principal legislation establishing a national minimum wage below which no qualifying employer may pay any worker, and providing enforcement mechanisms for compliance.

Who Does It Target?

All employers with 25 or more employees Employees in all sectors of the economy Trade unions negotiating on behalf of workers Ministry of Labour enforcement officers

What Does It Aim to Achieve?

Guarantee every qualifying worker a minimum floor wage below which employers may not legally pay, protecting the most vulnerable workers from poverty wages.

Key Features

Minimum Wage Floor: Sets the minimum hourly/monthly wage payable by qualifying employers. Employer Obligations: All qualifying employers must pay at least the minimum wage regardless of industry or sector. Enforcement: Ministry of Labour inspectors may prosecute employers found paying below the minimum wage. Review Mechanism: Minimum wage is reviewed periodically through tripartite consultation.

Current Status

Rollout Stage: Active Coverage: Nationwide, all qualifying employers Beneficiaries: Low-wage workers Funding: Employer compliance

How to Access

Workers paid below minimum wage may complain to the Labour Inspectorate Trade unions may raise underpayment as a trade dispute Application method: Complaints to Ministry of Labour.

Important Terms

Current minimum wage is N30,000 per month as per the 2019 Act Employers with fewer than 25 employees are exempt from the Act Agricultural and domestic workers have separate arrangements

Official Resources

Website: https://www.labour.gov.ng Contact: Federal Ministry of Labour and Employment

Legal Framework

The National Minimum Wage Act (original version) is the primary legislation on minimum wage in Nigeria, now in its 2019 iteration. It derives constitutional authority from Section 17(3)(b) of the 1999 Constitution (just and humane conditions of work). The Act operates alongside the Labour Act, the Trade Unions Act, and the National Salaries, Incomes and Wages Commission Act, aligning with ILO Convention 131 on Minimum Wage Fixing.