Reported by Weng Patrick Atokor l Journalist at Weng Global
The Nigeria Labour Congress (NLC) has denied negotiating the ₦40,000 consequential salary adjustment granted to Federal Government workers following the implementation of Nigeria’s ₦70,000 national minimum wage, insisting that the agreement was reached by public sector unions and their respective negotiating bodies.
The labour organisation said its responsibility during the 2024 national minimum wage negotiations was limited to negotiating the national minimum wage through a tripartite arrangement involving organised labour, the Federal Government and employers’ representatives.
In a statement issued on Sunday, November 8, 2026, and signed by its Acting General Secretary, Benson Upah, the NLC described claims that its leadership negotiated the ₦40,000 across-the-board salary adjustment as false and a distortion of Nigeria’s collective bargaining framework.
The clarification comes amid renewed discussions about workers’ earnings, the implementation of the 2024 minimum wage agreement and preparations for another round of national minimum wage negotiations.
NLC Explains Its Role in Minimum Wage Negotiations
The NLC explained that negotiating the national minimum wage and negotiating consequential adjustments to existing salary structures are two separate responsibilities within Nigeria’s labour relations system.
According to the Congress, the national minimum wage establishes the minimum amount employers are legally required to pay workers, while consequential adjustments involve reviewing existing salary structures to reflect the introduction of a new wage benchmark.
This distinction is important because an increase in the national minimum wage does not automatically determine how salaries across different employment grades should be adjusted.
Workers who already earn above the minimum wage may also be affected by changes to salary structures, particularly where adjustments are necessary to preserve differences in earnings between junior and senior employees.
The Congress maintained that its involvement in the national minimum wage negotiations did not extend to determining the consequential adjustments applicable to individual sectors.
It argued that those negotiations are conducted by the unions and negotiating councils representing workers in the affected sectors.
In its statement, the NLC said:
“The claim that the NLC was responsible for negotiating the N40,000 across-the-board addition as consequential adjustment for federal workers is not only false but is a deliberate distortion of the collective bargaining framework in Nigeria.”
The organisation said its position was intended to clarify the responsibilities of the different institutions involved in determining workers’ wages.
Public Sector Unions Responsible for the ₦40,000 Adjustment
The NLC identified the Joint Public Service Negotiating Council (JPSNC) as the body responsible for negotiating the implementation of the minimum wage and consequential salary adjustments for Federal Government employees.
The council comprises government representatives and approximately eight trade unions, whose national leadership participates in negotiations with the Federal Government on issues affecting public sector workers.
According to the NLC, the council has historically handled negotiations concerning consequential adjustments within the federal public service.
The Congress stressed that the leadership of the public sector unions involved in those negotiations should be held accountable for the outcome of the ₦40,000 adjustment.
It further explained that similar arrangements exist at the state level, where corresponding negotiating structures engage individual state governments on salary implementation and adjustments.
This means that responsibility for consequential adjustments is distributed across different negotiating institutions rather than being handled exclusively by the national leadership of the NLC.
The labour organisation said understanding these responsibilities would help workers identify the appropriate institutions to approach when seeking explanations about their salary agreements.
How Consequential Adjustments Work in the Private Sector
The NLC also explained that consequential adjustments in the private sector are negotiated through arrangements involving industrial unions and employers’ associations.
Unlike the public sector, where negotiating councils engage government representatives, private sector negotiations are conducted according to the structures and conditions of individual industries.
The Congress cited the Association of Food, Beverage and Tobacco Employers (AFBTE) and the National Union of Food, Beverages and Tobacco Employees (NUFBTE) as an example.
Under this arrangement, the employers’ association and the relevant industrial union negotiate how the national minimum wage should be implemented within the food and beverage industry.
The NLC said similar arrangements operate across other industries, with individual unions responsible for negotiating employment conditions and salary adjustments with their respective employers’ associations.
Although the Congress represents workers across both public and private sectors, it maintained that representation does not mean it directly negotiates consequential adjustments for every sector.
It also argued that its leadership has historically not participated directly in negotiating such adjustments with the Federal Government or organised private sector employers.
Background: Nigeria’s ₦70,000 National Minimum Wage
The dispute over responsibility for the ₦40,000 adjustment is connected to the implementation of Nigeria’s 2024 national minimum wage agreement.
President Bola Tinubu signed the ₦70,000 national minimum wage into law on July 29, 2024, following negotiations involving the Federal Government, organised labour and employers’ representatives.
The new minimum wage replaced the previous ₦30,000 benchmark, representing an increase of ₦40,000 in the statutory minimum wage.
However, the introduction of the new wage floor also created the need to review existing salary structures to determine how workers across different grades would benefit from the adjustment.
This process is commonly known as consequential adjustment.
It is designed to address differences in salary levels and ensure that changes to the minimum wage are reflected appropriately across existing employment structures.
The ₦40,000 consequential adjustment discussed by the NLC should therefore not be confused with the ₦40,000 increase between the previous ₦30,000 minimum wage and the new ₦70,000 national minimum wage.
They are separate issues involving different aspects of salary negotiations.
For federal workers, the consequential adjustment became part of the wider implementation process following the introduction of the new minimum wage.
NLC Raises Concerns Over the Next Minimum Wage Negotiations
Beyond distancing itself from the ₦40,000 adjustment, the NLC has also renewed attention on the timetable for Nigeria’s next national minimum wage review.
The Congress argued that preparations for another round of negotiations should already be under way, rather than being delayed until 2027.
According to reporting by The Guardian, Benson Upah maintained that the three-year review cycle introduced through the 2024 amendment to the National Minimum Wage Act should guide the timing of the next negotiations.
The NLC argued that the statutory review arrangement should not be altered unilaterally by either the government or organised labour.
Upah also expressed concern that the economic conditions affecting Nigerian workers had significantly reduced the purchasing power of the ₦70,000 minimum wage.
The labour organisation believes that the next wage negotiations should produce an agreement that better reflects workers’ economic realities.
However, the timing and outcome of the next negotiations will depend on discussions between the relevant parties and the applicable legal framework.
Why the NLC’s Clarification Matters to Nigerian Workers
The clarification has implications for how Nigerian workers understand the country’s collective bargaining system.
First, it establishes a distinction between negotiating a national minimum wage and negotiating adjustments to existing salary structures.
Although both processes are connected, they involve different institutions and responsibilities.
Second, the NLC’s position places greater attention on the Joint Public Service Negotiating Council and the public sector unions involved in determining the ₦40,000 consequential adjustment.
For federal workers seeking explanations about the agreement, understanding which institutions participated in the negotiations could help them direct their concerns to the appropriate representatives.
Third, the clarification comes at a time when organised labour is preparing for another national minimum wage negotiation.
The NLC’s position suggests that accountability for previous wage agreements will remain an important issue as discussions about future workers’ earnings develop.
The wider economic situation also makes the debate significant.
Rising living costs and pressure on household incomes have continued to make wages, purchasing power and workers’ welfare important issues in Nigeria’s economic discussions.
For many employees, the central concern is not simply the amount stated in a salary agreement but whether their earnings can adequately meet essential living expenses.
What Happens Next?
The NLC has reaffirmed its commitment to pursuing a new national minimum wage that better reflects the economic circumstances of Nigerian workers.
It said it would work towards an outcome that approximates a living wage and serves the interests of workers and the wider population.
The Congress also urged workers to hold the appropriate institutions accountable for the outcomes of consequential adjustment negotiations.
However, the immediate clarification does not announce a new salary increase or change the existing ₦40,000 adjustment.
Rather, it addresses who negotiated the adjustment and which institutions should be held responsible for its outcome.
Attention will now remain on the next minimum wage negotiations, the position of the Federal Government and the role of organised labour in securing improved earnings for Nigerian workers.
For federal employees, the distinction drawn by the NLC provides further clarification about the responsibilities of the institutions involved in determining their salaries.
Weng Global – Stories beyond borders
Sources
- Punch Newspapers – NLC Denies Negotiating N40,000 Salary Adjustment
- The Guardian Nigeria – NLC Rejects N40,000 Wage Adjustment for Public Workers
- Nairametrics – NLC Denies Negotiating N40,000 Consequential Adjustment for Federal Workers
- Vanguard – NLC Explains It Did Not Negotiate N40,000 Pay Adjustment for Federal Workers
