PRESIDENT Bola Ahmed Tinubu has presented the minimum Wage Bill to the National Assembly and the Bill was singed into law few days ago by the President. It was earlier reported how the Nigerian Government approved a N70,000 minimum wage following deliberations with the organised labour.....KINDLY READ THE FULL STORY HERE▶
The newly signed National Minimum Wage that pegs the minimum remuneration of Nigerian workers at N70,000 does not apply to all workers in Nigeria, a report submitted by the Tripartite Committee established by President Bola Tinubu has revealed.
Although the Nigeria Labour Congress, Trade Union Congress and their affiliates earlier demanded N250,000, it finally agreed to a N70,000 wage, bringing an end to the almost protracted wage dispute.
Senate President Godswill Akpabio had also announced that the newly approved minimum wage would apply to all workers. He said the application of the new law is without exceptions.
He noted that all workers across both public and private sectors, including maids and other domestic staff are expected to benefit from the newly approved minimum wage.
However, a copy of the report submitted by the Tripartite Committee to President Tinubu which Vanguard Newspaper obtained has shown that the Senate President’s remark is not accurate.
The report contains some exceptions, stating that not all workers in Nigeria can benefit from the new minimum wage, considering the nature of work, revenue and size of workforce.
The report said for any business to qualify for exemption from the mandatory payment of minimum wage, the business must fall under a nano business (Business managed by 1-3 persons with capital below N50,000).
Others are micro business enterprise, which has 10 or a smaller number of employees, startup businesses, those with legal or statutory exemption and commission contract.
Others include establishments that have
Before making its recommendations, the committee noted the exemption of workers in seasonal employment, such as agricultural farmland, as well as the exemption of anyone working on a vessel or aircraft subject to commercial shipping or civil aviation legislation.
The sub-committee considered the rationale, justification and objective for excluding organisations from mandatory compliance with the national minimum wage laws based on the number of their employees.
The sub-committee considered that many organisations with supposedly slim workforces earn multi-billion naira in annual revenue, and yet do not on their own volition find it fair to comensurately compensate their junior staff with an amount above the minimum wage standard.
The sub-committee also found that this idea of exemption is even discouraged by the International Labour Organisation, describing it as unfair to the lowest earners of the society.
The sub-committee argues that even if this form of exemption becomes necessary, 25 employees as the baseline for such exemption is unfair and unrealistic.