₦200,000 Minimum Wage Approved for Shipping Agencies Workers

Shipping agencies under the Shipping Agencies, Clearing, and Forwarding Employers Association (SACFEA) have approved a new minimum wage of ₦200,000 for their employees, marking a significant milestone in labor relations within the maritime industry.

The agreement was formalized during a signing ceremony in Lagos on Saturday, organized by the Nigerian Shippers’ Council (NSC) and supported by the Ministry of Marine and Blue Economy. This development comes after two decades of negotiations and advocacy by the Maritime Workers Union of Nigeria (MWUN).

Mrs. Boma Alabi (SAN), President of SACFEA, highlighted the significance of the new wage, stating that it sets a new benchmark for the shipping industry and surpasses any other sector in Nigeria.

“The most significant thing is that in setting a minimum standard for the shipping industry, we have gone above and beyond any other industry in Nigeria. The national minimum wage is ₦70,000, and we know what it took to get the Federal Government to that point. By the agreement we have signed today, our minimum wage is ₦200,000. It is almost triple the national minimum wage,” Alabi said.

She further explained that while workers initially requested ₦160,000, employers decided to exceed expectations by offering ₦200,000, understanding the current economic challenges and wanting to ensure a better quality of life for their employees. “We don’t just want the workers to live, but to work and save for their future,” she added.

Alabi expressed optimism that the new wage agreement would contribute to the growth of Nigeria’s blue economy by promoting uniformity in standards and boosting productivity.

“With minimum standards, we would no longer have charlatans in the system. We are also looking at developments in other parts of the world to improve the practice in Nigeria. One of the challenges in the country is the cost of doing business. This development will enable us to reduce the cost of doing business and compete favorably,” she noted.

The Minister of Marine and Blue Economy, Adegboyega Oyetola, also addressed the gathering, urging workers to reciprocate the improved wage conditions with increased productivity and efficiency.

“I enjoin the labor unions to remain steadfast and vibrant in advocating for the rights of workers by ensuring compliance with the agreed standards,” Oyetola said, adding that the government would continue to provide oversight and create an enabling environment for ongoing improvement.

Oyetola further emphasized the importance of all stakeholders upholding the principles of the new agreement, urging employers to view the new conditions as a catalyst for fostering a positive work environment.

The President General of MWUN, Adewale Adeyanju, expressed gratitude on behalf of the labor unions and assured that the new agreement would lead to higher performance among shipping workers.

“As we celebrate this achievement, let us also remember that our work is far from over. We will continue to advocate for the rights and interests of maritime workers and employers to maintain peaceful industrial harmony,” Adeyanju stated. He also reaffirmed the union’s commitment to collaborating with all stakeholders for the benefit of the industry.

The Executive Secretary of the NSC, Pius Akutah, attributed the success of the agreement to the exemplary leadership of Minister Oyetola, commending both MWUN and SACFEA for their roles in achieving this milestone.

Akutah also noted that this success reflects the Ministry’s dedication to improving the welfare of workers through teamwork and collaboration.

Earlier in April, MWUN had announced the successful conclusion of negotiations with shipping industry employers, marking the end of over 20 years of struggle for improved wage standards. The union had previously declared a state of emergency in the maritime sector following several failed attempts to secure better welfare and service conditions for its members.