President Bola Tinubu has announced a wage award of N35,000 per month for all federal civil servants to ease the burden of the fuel subsidy removal. The wage award will take effect from September 1, 2023 and will last until a new national minimum wage is enacted.
This was revealed in a memo issued by the National Salaries, Incomes and Wages Commission (NSIWC) on October 19, 2023.
The memo was addressed to various government officials and agencies, including the Chief of Staff to the President, Ministers, Secretary to the Government of the Federation, Head of the Civil Service of the Federation, and Chairmen of Federal Commissions.
The memo stated that the wage award was approved by the President following the Memorandum of Understanding (MoU) reached between the Federal Government and the Nigeria Labour Congress (NLC) and Trade Union Congress of Nigeria (TUC) on October 2, 2023.
The MoU was signed after the labour unions suspended their strike over the hardship caused by the withdrawal of subsidy on premium motor spirit (PMS).
According to the memo, the wage award is “pending when a new national minimum wage is expected to have been signed into law.”
“I refer to the Memorandum of Understanding reached between the Federal Government of Nigeria and the Nigeria Labour Congress (NLC) and Trade Union Congress of Nigeria (TUC) on Monday, 2 October 2023 as a result of the dispute arising from withdrawal of subsidy on the price of premium motor spirit (PMS) and hereby convey the approval of the President and Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria for the grant of a wage award of N35,000:00 (thirty-five thousand Naira) only per month to all Federal Government workers with effect from 1 September 2023 pending when a new national minimum wage is expected to have been signed into law.
“Accordingly, the implementation of the N35,000.00 per month wage award for all Federal Government Ministries, Departments and Agencies that are treasury-funded will be funded from the treasury.
“Non-treasury funded Federal Government agencies are to implement the same from their internally generated,”
Newsflash Nigeria reported that the NLC, TUC, and other organized labour unions embarked on an industrial action over the fuel subsidy removal.
The strike was called off for one month after the Tinubu-led administration offered N5 billion for palliatives to the 36 states and the Federal Capital Territory (FCT).