Politics

FG Clarifies July 29th Backpay For Minimum Wage

minimum wage

The Federal Government, through the National Salaries, Incomes and Wages Commission (NSIWC), has announced that the payment of the revised minimum wage will officially begin from July 2024.

This was disclosed by the NSIWC Chairman, Ekpo Nta, during a press briefing held on Tuesday in Abuja.

Nta explained that the July start date aligns with when President Bola Tinubu signed the minimum wage bill into law after its passage by the National Assembly.

This announcement contradicts an earlier statement made by the Minister of State for Labour, Nkiruka Onyejeocha, who had claimed that the new wage would take effect from May 1, 2024.

The new decision means that only two months of arrears will be paid if the government begins disbursement by the end of October.

The announcement also confirmed the approval of the revision of the Consolidated Public Service Salary Structure along with other salary frameworks for federal workers.

Last week, the Committee on Consequential Adjustments in Salaries for civil servants met to discuss the new minimum wage structure and agreed to backdate the implementation to July 29, 2024.

Additionally, the committee, led by the Head of Civil Service of the Federation, Didi Walson-Jack, recommended that the previously discontinued wage award should be paid up until July 28, 2024.

The government reportedly considered the current economic situation in the country before reaching its conclusions.

However, the Nigerian Labour Congress (NLC) has rejected the July backdate decision, with NLC’s Head of Information, Benson Upah, expressing discontent, calling it “unfair and unacceptable.”

Similarly, the National Vice President of the Trade Union Congress (TUC), Timmy Etim, criticized the move, referencing Onyejeocha’s previous promise on May Day that the wage would take effect in May.

At the press briefing, Nta addressed these concerns, clarifying that the minimum wage will take effect from July 29, 2024, as this was the date when the President officially approved the bill.

The NSIWC chairman said, “The President has approved the revision of the Consolidated Public Service Salary Structure with effect from July 29, 2024.

“The commission wishes to clarify that the effective date for the commencement of the National Minimum Wage is the 29th of July, 2024 as that was the day Mr President assented to the act after the bill was forwarded to him by the National Assembly.”

He urged any federal public service institution, whether self-funded or funded by the treasury, that has not yet received the relevant circular, to contact the NSIWC for guidance to prevent misaligned salary implementations.

Nta said, “This is to avoid an uncoordinated implementation which tends to destroy the existing salary relativities in the federal public service.”

Nta added that further instructions would be issued regarding the inclusion of pensioners, National Youth Service Corps (NYSC) members, and interns in the minimum wage adjustment.

The chairman also outlined several revised salary structures, including the Consolidated Research and Allied Institutions Salary Structure, Consolidated Universities Academic Salary Structure, and Consolidated Tertiary Institutions Salary Structure II.

Other updated templates include the Consolidated Polytechnics and Colleges of Education Academic Staff Salary Structure, Consolidated Medical Salary Structure, and the Consolidated Para-Military Salary Structure, among others.

This is consequent to the enactment of the NSIWC Amendment Act 2024 and the Memorandum of Understanding reached by the committee on consequential adjustments in salaries arising from the National Minimum Wage (Amendment) Act, 2024.

”Between the Federal Government of Nigeria and the Trade Union sides of the Joint National Public Service Negotiating Council Sept. 20,” Nta concluded.