The Nigerian government has recently made some significant changes to the minimum wage policy for 2025

1. **Frequent Reviews**: The minimum wage will now be reviewed every two years instead of the previous five-year interval
2. This change aims to better address economic realities and improve workers' welfare

2. **Current Minimum Wage**: As of 2024, the minimum wage was set at **₦70,000*. This was a result of President Bola Tinubu's commitment to review and adjust the .

3. **Inflation Impact**: Nigeria has been experiencing high inflation, which stood at **34.60% in November 2024*
4. This has put pressure on the government to make more frequent adjustments to the minimum wage to help workers cope with the rising cost of

4. **Budget Allocation**: The 2025 budget includes an allocation of **₦845 billion** to address minimum wage-related adjustments.
5. This shows the government's commitment to enhancing the welfare of civil servants
5. **Trade Union Demands* The Trade Union Congress has been advocating for a yearly review of the minimum wage to keep up with economic While the new two-year review timeline is a step forward, some stakeholders still believe that annual reviews would be more.

THE FEDERAL GOVERNMENT OF NIGERIA 

As of July 2024, the federal government increased the national minimum wage from N30,000 to N70,000 monthly, following a strike action by the Nigeria Labour Congress 
This new wage is expected to have a significant impact on the standard of living of Nigerian employees.

However, it's essential to note that the implementation of the new minimum wage is not without its challenges. Some states in Nigeria are yet to implement the minimum wage, and there are concerns about the ability of some employers to pay the new wage 

In terms of the implications of the new minimum wage, it's worth noting that the wage is subject to statutory deductions, such as pension, national housing fund, and life assurance. However, it's exempt from tax deductions by virtue of the provisions of the Finance Act, 2020 

To ensure the effective implementation of the new minimum wage, employers are obligated to pay their employees a minimum of N70,000 per month. The government also needs to ensure that the economy is stable, and the cost of living is manageable, so that the minimum wage can have a meaningful impact on the standard of living of Nigerian employees


These changes reflect the government's efforts to support workers and ensure that their wages keep pace with economic conditions. Do you think these measures will be effective in addressing the challenges faced by Nigerian workers?