NSIWC Clarifies Backpay for Minimum Wage Slated to Begin in July 2024

The Federal Government, through the National Salaries, Incomes and Wages Commission (NSIWC), has confirmed that payments under the new minimum wage will begin in July 2024. The announcement was made by the NSIWC Chairman, Ekpo Nta, during a press briefing on Tuesday in Abuja.

Nta explained that July 29, 2024, marks the date President Bola Tinubu approved the new wage bill following its passage by the National Assembly, and this will serve as the effective start date for the new salary structure.

This statement contrasts with an earlier remark by Minister of State for Labour, Nkiruka Onyejeocha, who had assured that the payment would commence on May 1, 2024. Due to this change, the government will owe workers two months of arrears, which would be paid only if disbursements begin by the end of October.

Additionally, the government has approved revisions to the Consolidated Public Service Salary Structure and other salary scales. Last Friday, the Committee on Consequential Adjustments in Salaries for civil servants met to finalize the new minimum wage template and agreed on the July 29 start date. The committee also recommended the payment of a wage award, which was previously discontinued, until July 28, 2024.

Headed by the Head of Civil Service of the Federation, Didi Walson-Jack, the committee noted that the government’s decision was influenced by the current economic climate in the country.

Despite the announcement, the Nigerian Labour Congress (NLC) and the Trade Union Congress (TUC) have expressed their dissatisfaction with the backdated implementation. Speaking to the press, NLC Head of Information, Benson Upah, called the move “unacceptable,” adding, “The backdating to July is not fair.”

TUC National Vice President, Timmy Etim, also criticized the government’s decision, stating that the earlier promise made by Minister Onyejeocha to implement the minimum wage in May should have been upheld.

Addressing these concerns, Nta clarified that the delay was procedural, as the President’s assent to the wage bill was only given on July 29, 2024. He emphasized that any federal public service institution, whether self-funded or treasury-funded, that has not received official circulars regarding the new wage structure should contact the NSIWC for guidance to avoid mismanagement of salary adjustments.

Nta also revealed that further directives would be issued on how various categories, including pensioners, National Youth Service Corps (NYSC) members, and interns, would benefit from the new wage implementation.

The revised salary templates include structures for various sectors, such as research and allied institutions, universities, polytechnics, colleges of education, medical personnel, paramilitary services, police, intelligence agencies, and the armed forces.

Nta noted that these changes are a result of the newly enacted NSIWC Amendment Act 2024 and the agreements reached by the Committee on Consequential Adjustments in Salaries, which were negotiated between the Federal Government and the Trade Union sides of the Joint National Public Service Negotiating Council on September 20, 2024.

The chairman concluded by reaffirming that the wage adjustments were carefully considered in light of the country’s prevailing economic conditions.