Federal civil servants outside a ministry in Abuja in 2024 during an NLC strike
The United States government says Nigeria’s N70,000 minimum wage is incapable of lifting millions of the country’s citizenry out of poverty.
In its 2024 country reports on human rights practices, released on August 12, 2025, the US Department of State said the minimum wage, currently valued at about $47.90 per month, has been severely eroded by the devaluation of the naira.
The report also noted that wage enforcement remains weak across the country.
“The law provided for a national minimum wage for public and private sector employers with 25 or more full-time employees, with exceptions for seasonal agricultural workers, part-time workers, those on commission, and some others,” the report reads.
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“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.
“Many employers had fewer than 25 employees, so most workers were not covered. Some states declined to implement the minimum wage law, citing financial constraints.
“The law mandated a 40-hour workweek, two to four weeks of annual leave, and overtime and holiday pay, except for agricultural and domestic workers.
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“The law did not define premium pay or overtime. The law prohibited excessive compulsory overtime for civilian government employees.”
The report also said the federal government rarely effectively enforced minimum wage, overtime, and occupational safety and health (OSH) laws.
It added that penalties were low and not commensurate with other crimes, such as fraud — and were rarely applied.
“The Ministry of Labor and Employment was responsible for enforcement of wage, hour, and OSH laws, but the number of labor inspectors was insufficient to enforce compliance,” the report added.
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“Although the law gave labour inspectors authority to make unannounced visits and initiate sanctions, it stipulated that most individuals needed to file a complaint before the National Industrial Court of Nigeria.
“Between 70 and 80 percent of the country’s working population worked in the informal economy. Authorities did not enforce wage, hour, and OSH laws and inspections in the informal sector or with part-time workers.”
