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El-Rufai says states should be allowed to determine their own minimum wages

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El-Rufai says states should be allowed to determine their own minimum wages

Kaduna State Governor, Nasir El-Rufai, said each state should be allowed to determine its minimum wage according to the level of its income.

Backstory: El-Rufai was speaking in Abuja at an event of the Nigeria Governors’ Forum (NGF) Annual National Peer Learning Event on Wednesday, November 8th.

The state governors, under the aegis of NGF, had previously proposed N22,500 as the new national minimum wage.

However, in the report it submitted to President Muhammadu Buhari, on Tuesday, the tripartite committee on the review of the National Minimum Wage recommended N30,000.

El-Rufai, however, had a different view on the matter. “If you look at the 1963 constitution, the minimum wage was not in the inclusive list, it was added during the military rule. There is a number of laws that were enacted during the military rule and there is a need to look at them and do something about them,” he said.

Speaking on the same issue, Governor Abdulfatah Ahmed of Kwara State said that the new minimum wage was coming with an added responsibility and the current revenue profile was not likely to take it on.

Ahmed added that it is necessary for all stakeholders in the states to strike the necessary balance between economic and social costs of generating increased internal revenue through taxes, fees, levies, and fines.

He added that this was necessary as the nation prepares for a new minimum wage law which would likely put a strain on states’ finances.

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