NECA applauds Imo, Ebonyi over Minimum Wage hike, urges other States to follow suit

The Director-General of the Nigeria Employers’ Consultative Association (NECA), Adewale-Smatt Oyerinde, has commended the governments of Imo and Ebonyi states for increasing the minimum wage for their civil servants, describing the move as a positive step amid challenging economic conditions.

Oyerinde made the remarks on Tuesday, during an appearance on Channels TV’s Morning Brief, noting that the wage adjustments reflect either increased inflows from the Federation Account, prudent resource management, or improved worker productivity.

Imo State recently approved a new minimum wage of ₦104,000 for its civil servants, while Ebonyi State raised its minimum wage to ₦90,000. The NECA chief urged other state governments to adopt similar measures, stressing that workers remain key drivers of economic growth.

“States have no excuse not to pay their workers fairly, especially given current economic realities. Reviewing wages is essential to motivate staff and enhance productivity, particularly with the fuel subsidy removal and other reforms,” Oyerinde said.

He further advised governors to use increased federal allocations strategically, ensuring that the new wages are sustainable while also addressing broader economic challenges, including food security and housing.

Lauding some state initiatives, such as providing CNG buses to improve worker transportation, Oyerinde urged governments to prioritise practical solutions that improve living conditions for employees.

While recognising that many states have recorded significant growth in Internally Generated Revenue, he cautioned that some of the gains may have led to higher taxes on private businesses, potentially undermining federal tax reform efforts aimed at reducing business burdens.

Oyerinde also stressed the importance of human capacity development alongside wage increases.

“If workers are not adequately trained, governments risk undermining their own productivity objectives. Beyond paying minimum wage, states must equip employees with the skills necessary to match wage expectations,” he said.

Citing NECA’s ongoing initiatives, he highlighted the partnership with Microsoft to train Nigerians in artificial intelligence, showcasing how human capital development can complement fair wage policies and boost economic productivity.