N70,000 Minimum Wage Implementation Faces Roadblocks: Borno State Cites Overstaffing, While Ogun Workers Maintain Indefinite Strike Over Pensions and Unremitted Funds.
The implementation of the N70,000 national minimum wage continues to be a contentious issue across Nigeria, with various states grappling with unique challenges. In Borno State, Governor Babagana Zulum has directed local government chairmen to implement the new wage for council workers, but the Permanent Secretary of the Ministry of Local Government and Emirate Affairs, Modu Alhaji Mustapha, highlighted a major hurdle: an "over-bloated" workforce. Mustapha revealed that Borno's 27 local government areas collectively employ around 90,000 staff, a figure significantly higher than states with larger populations, making the new wage financially unsustainable without drastic measures. For instance, Maiduguri Metropolitan Council alone requires N778 million monthly for salaries at the N70,000 rate, exceeding its N700 million federal allocation, leaving nothing for essential services.
While Governor Zulum has assured that the N72,000 minimum wage (which includes a slight increase for state workers and primary school teachers) has been fully implemented for state civil servants and primary school teachers, he cautioned against retrenchment of local government staff as a solution. He appealed for patience from council workers, urging local government chairpersons to engage stakeholders and devise workable solutions. This scenario in Borno exemplifies the fiscal strain many states face in aligning with the new wage, balancing worker welfare with financial realities and the need for development projects.
The situation in Ogun State paints a more immediate and drastic picture, as workers there have embarked on an indefinite strike over unresolved issues surrounding the Ogun State Pension Reform Law and unremitted pension deductions. The Nigeria Labour Congress (NLC) and other organized labour unions in Ogun directed all civil and public servants to withdraw their services, effective July 15, 2025. They accuse the state government of failing to remit 14 years' worth of pension deductions, amounting to N82 billion, and other grievances including non-implementation of the national minimum wage for certain cadres.
The NLC's strong stance in Ogun, along with its nationwide call for full enforcement of the new minimum wage, underscores the ongoing battle between labor unions and state governments. While some states like Zamfara and Edo have reportedly commenced payment of the N70,000 minimum wage, others like Kaduna are facing threats of industrial action from unions over non-implementation. These developments highlight the complex interplay of financial capacity, political will, and labor demands that define the current minimum wage landscape across Nigeria.
I'm Adedayo Obadina
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