The United States has said that Nigeria’s new ₦70,000 minimum wage remains below the poverty income level, despite being doubled in 2024.
The observation was contained in the 2024 Country Reports on Human Rights Practices, released by the US Department of State on August 12, 2025.
According to the report, the minimum wage—valued at about $47.90 per month—has been severely eroded by the devaluation of the naira. It noted that enforcement of wage laws remains weak across Nigeria.
“The National Minimum Wage (Amendment) Act 2024 doubled the minimum wage to 70,000 naira ($47.90) per month. Despite the increase, currency devaluation meant the minimum wage was no longer higher than the poverty income level,” the report stated.
The report further highlighted that:
- Many employers with fewer than 25 workers are exempt from the minimum wage law.
- Some states have declined to implement the wage increase, citing financial constraints.
- Labour protections such as a 40-hour workweek, annual leave, and overtime pay are inconsistently applied, with agricultural and domestic workers often excluded.
- Wage and labour law enforcement is hampered by insufficient labour inspectors and weak oversight mechanisms.
The State Department also noted that between 70–80% of Nigeria’s workforce is engaged in the informal economy, where wage, hour, and occupational safety laws are rarely enforced.
The report underscores ongoing challenges for Nigerian workers, even as the government seeks to reposition the economy amid rising inflation and currency pressures.
