Minimum Wage: Why States can still renegotiate with Labour —Governors’ Forum


The Nigerian Governors’ Forum (NGF), on Monday, said that state governments will not be compelled to adopt the federal government’s format of minimum wage payment, noting that state governments can still renegotiate with their labour Unions on what they can afford to pay as the new minimum wage.

To this end, implementation of the consequential increments in the N30,000 Minimum Wage Law will depend on the capacity of each state government.

The chairman of the forum and Governor of Ekiti State, Dr Kayode Fayemi, stated this while briefing newsmen at the end of the meeting of the forum held in Abuja.

Fayemi reading the meeting’s communique said that the forum made the resolution when it met and reviewed current progress in the implementation of the minimum wage law.

Clarifying the forum’s position and Federal Economic Council (FEC)’s decision, Fayemi said that while state governors agreed to the N30, 000, FEC did not determine what happens in the states.

He said that each state had its State Executive Council, which is the highest decision making body at the state level.

“The forum as the representative body of the states keenly followed what happened in the negotiations that led to that template.

“As far as we are concerned, the best the forum can do is to stick with what has been agreed with the states. States are part of the tripartite negotiations.

“States agreed to that N30,000 minimum wage increase. States also know that there will be consequential adjustment but that will be determined by what happened on the state-by-state basic.

“Because there are different number of workers and different issues at the state level.

“Every state has its own trade union joint negotiating committee and they will undertake this discussion with their state governments.

“The day after this agreement was reached with labour, it was on record that I was on a national television and made the position of the governors clear.

“That for us this was a national minimum wage increase, not a general minimum wage review.”

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