NLC rejects tax on minimum wage, demands living wage

By Samuel Solomon

The Nigeria Labour Congress (NLC) has rejected any proposal to impose tax on the national minimum wage, insisting on urgent adoption of a living wage for Nigerian workers.

According to press reports, Mr Joe Ajaero, NLC president, disclosed this to newsmen on the sidelines of the ongoing 114th session of the International Labour Conference(ILC), on Tuesday, in Geneva, Switzerland.

Ajaero said the organised labour will resist any attempt to tax minimum wage earners, describing such policy direction as “unjust and insensitive” to prevailing economic hardship across the country.

“We reject outright any attempt to tax the minimum wage or place levies on poor Nigerian workers,” Ajaero said .

He said the current wage structure no longer reflects Nigeria’s economic realities, adding that inflation, rising food prices and transport costs have worsened the living conditions of workers nationwide.

Ajaero said the organised labour will soon commence fresh negotiations for a new minimum wage, stressing that the process would begin by July 2026 to avoid past delays and administrative bottlenecks.

“As soon as we leave here, we shall write again to government, demanding commencement of the process for renegotiating the National Minimum Wage,” he said.

He explained that labour’s demand goes beyond wage adjustment, stressing that Nigerian workers deserve a genuine living wage capable of meeting basic needs under current economic pressures.

“We demand nothing less than a genuine living wage that reflects today’s high-speed economic realities facing Nigerian workers,” Ajaero said.

The NLC president called on federal, state and local governments to introduce immediate relief measures for workers pending conclusion of ongoing wage negotiations.

He said that failure to provide relief would worsen economic hardship, especially among low-income earners already struggling with high cost of living.

Ajaero said the minimum wage negotiation process would remain a tripartite arrangement involving government, organised labour and private sector stakeholders for fair outcomes.

He noted that some states have begun paying above the current minimum wage, proving that higher wage structures were economically feasible within Nigeria’s federating units.

“Some states are paying N85,000, some are paying N100,000. It shows that N70,000 is no longer realistic or relevant,” he said.