Arrears of new minimum wage
The new minimum wage in Nigeria was increased to N30,000 per month in April 2021. However, there have been reports of arrears of the new minimum wage being owed to workers by some employers.
According to reports, some employers, particularly in the private sector, have not paid the new minimum wage to their workers, citing financial constraints. This has led to a situation where many workers are still receiving the old minimum wage of N18,000 per month.
The Federal Government has been urging employers to pay the new minimum wage to their workers, and has also set up a committee to monitor compliance with the new wage. However, the issue of arrears of the new minimum wage remains a challenge in the country.
Some of the reasons why employers may not be paying the new minimum wage include:
- Financial constraints: Some employers may not have the financial resources to pay the new minimum wage, especially small and medium-sized enterprises (SMEs).
- Lack of clarity on implementation: There may be a lack of clarity on how the new minimum wage should be implemented, which can lead to confusion and delays in payment.
- Resistance to change: Some employers may be resistant to change and may not want to pay the new minimum wage, especially if they are used to paying the old minimum wage.
- Difficulty in calculating the new wage: Some employers may find it difficult to calculate the new minimum wage, especially if they have a large number of employees with different salaries and benefits.
The issue of arrears of the new minimum wage is a major challenge in Nigeria, and it is essential that the government and employers work together to resolve this issue and ensure that all workers receive the new minimum wage.