Clarify ambiguity in minimum wage, recruiting agencies urge National Assembly

By Oyebola Owolabi

The Employers’ Association for Private Employment Agencies of Nigeria (EAPEAN) has urged the National Assembly to give more clarity to the new national minimum wage debacle to avoid ambiguity.

This it said was necessary to avoid certain pitfalls because what is paid in Nigeria is salary, and not wages.

President of EAPEAN, Dr. Femi Ogunlowo, stated this at the association’s 13th Annual General Meeting (AGM).

He said: “We always like that there is no ambiguity in law. What we call wage in Nigeria is salary because wage is paid hourly or daily. So, for clarity, the proposed N70,000 is minimum monthly salary and not wage, otherwise we will be in trouble because employers will have to pay N70,000 hourly. So it is expedient to understand the clear distinction.

“We also need to know if it is gross or net. All of these have to be explicit, otherwise it will bring confusion. We are thus asking these questions so that those in charge can draft the law appropriately.”

Ogunlowo also noted that the association’s new status as a trade union confers on it the ability to bargain and promote decent work for Nigerians.

“With this status, we are able to advocate on behalf of all employers to ensure that the terms of employment are in line with the law, and conform with international best practice,” he added.

On efforts to eliminate casualisation in the workplace, Ogunlowo said it was necessary to understand the dynamics of recruitment which could warrant an employer to hire temporary workers.

He added: “Casualisation is where there is no structure to employment; we frown at this and our members do not participate or engage in casualisation. However, there could be surges in employment needs. For instance, there could be need to hire people for a three-week event. In this case, you will need security personnel, waiters, and the likes, so you employ them on short term basis, for the period of the event. This is different from casualisation.”

Since the EAPEAN’s 12th AGM in 2023, 29 new members joined the association.

“We will keep fighting to get more people into the fold because the more members we have in our fold, the more the assurances of decent work for Nigerians because those who subscribe to our association are those who want to give decent work to Nigerians,” Ogunlowo added.

Permanent Secretary in the Federal Ministry of Labour and Employment, Ismaila Abubakar, urged recruitment agencies to ensure employers pay the N70,000 minimum wage as any deviation from this will not be tolerate.

Abubakar, represented by the Director of Employment and Wages, John Nyamali, said: “The minimum wage is now a law, and so it is a punishable crime for any employer to pay any of its workers less than N70,000. It also behooves on EAPEAN to ensure its members do not accept any labour contract that offers remuneration below the national minimum wage to any category of employees. You should ensure that your members observe the highest principle of ethics, integrity and professionalism.

“The Ministry of Labour and Employment on its part will continue to support your organisation to attain greater heights as long as your members are committed to the ethos of the profession. The ministry is not unmindful of the challenges faced by your members involved in international recruitment, ranging from competition by unlicensed PEAS, difficulty in securing visas from embassies, to securing NAPTIP clearance even after obtaining Recruiter’s License from us.

“The ministry is bothered by these unpleasant developments which are at variant with the Executive Order on the Ease of Doing Business. Rest assured that the ministry will continue to work with the appropriate government agencies to address these problems.”

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