Labour unions in Nigeria are advocating for a yearly adjustment of the N70,000 minimum wage to keep up with inflation. Festus Osifo, the president of the Trade Union Congress (TUC), highlighted this proposal during an interview on Politics Today on Channels Television.

Osifo explained that waiting several years to review the minimum wage doesn’t reflect the economic realities faced by workers. He proposed that the government should align wage adjustments with yearly inflation rates.

“For example, if inflation for December 2024 is 35%, that percentage should be applied to the N70,000 minimum wage by January 2025,” Osifo said. He emphasized that this approach would ensure the minimum wage maintains its value in the face of rising living costs.

The Nigeria Labour Congress (NLC) and TUC have already begun discussions on this plan. Although current laws allow for wage reviews every three years, the unions argue that annual adjustments are necessary to protect workers from the effects of inflation.

This proposal comes months after the government increased the minimum wage to N70,000 in July 2024, following lengthy negotiations. The raise was an improvement from the previous N30,000 minimum wage set five years earlier. However, labour unions argue that skyrocketing costs of living, caused by factors like the removal of petrol subsidies and rising energy prices, have made the new wage insufficient.

Labour leaders believe this annual review system would ensure workers earn a fair and sustainable living wage in a challenging economic environment.