N70,000 minimum wage no longer enough for workers — Keyamo

Minister of Aviation and Aerospace Development, Festus Keyamo, SAN, has acknowledged that Nigeria’s N70,000 national minimum wage is no longer sufficient to shield workers from the rising cost of living.

Keyamo spoke at the 2026 National Pre-Retirement Summit organised by XEM Consultants Limited, where he urged the Federal Government to reach an agreement with organised labour on improved wages.

The minister, who previously served as Minister of State for Labour and Employment, recalled the negotiations that resulted in the increase of the minimum wage from N30,000 to N70,000 in 2024.

He said the purchasing power of the current minimum wage had been weakened by economic pressures, noting that labour unions were pushing for as much as N500,000.

Keyamo urged the government to take workers’ welfare seriously, particularly in public institutions where, he alleged, employees sometimes struggle to access basic allowances while senior officials approve substantial funds for foreign trips.

“I will have none of it. Without these workers, we will not have a country,” he said.

According to him, workers remain central to national productivity and public service delivery, regardless of the level of technology available to government.

“It’s not the machines or everything that you [have]; it’s the human factor. Without that, no machine will move,” he said.

The minister called on ministers and heads of government agencies to prioritise workers’ welfare and productivity when making administrative decisions.

Labour seeks intervention

Also speaking at the summit, Nigeria Labour Congress President, Joe Ajaero, called on the Federal Government to use additional revenue from higher international oil prices to cushion Nigerians against rising living costs.

Ajaero said the increase in crude oil prices had generated additional revenue for oil-producing countries and argued that Nigeria should deploy part of the gains to support citizens facing higher transportation and food costs.

He said discussions on wages should focus on purchasing power rather than the nominal amount workers receive.

“Negotiations are not just figures,” Ajaero said, explaining that even a significantly higher salary could lose its value if the prices of basic commodities increased at a faster rate.

The NLC president also advocated linking wages and pensions to inflation or a cost-of-living index so that workers’ incomes could adjust automatically when economic conditions change.

He said minimum pensions should be considered alongside minimum wages because pensioners were equally affected by inflation and other economic pressures.

Ajaero noted that the minimum-wage review cycle had been reduced from five years to three years, adding that the next review was expected around March or April.

“This minimum wage is supposed to expire March–April, so the conversation ought to start early. That’s a three-year cycle,” he said.

However, he said labour’s immediate priority was helping workers cope with current economic pressures before the next review.

Ajaero also questioned the impact of government interventions aimed at reducing transportation and energy costs, particularly the Compressed Natural Gas programme.

He asked how many vehicles had been converted to CNG and how accessible refuelling infrastructure was across the country.

The labour leader said addressing inflation, transportation costs, food prices and currency pressures would be critical to improving workers’ living conditions.

Retirement planning

The Chief Executive Officer of XEM Consultants Limited and convener of the summit, Eugenia Ndukwe, said the event was designed to prepare senior professionals for productive and financially secure retirement.

She said the summit addressed financial planning, health and wellness, entrepreneurship, investment, estate and wealth management, and agricultural enterprise systems.

Ndukwe added that digital technology was creating new opportunities for professionals to remain economically active after formal employment.

She said XEM Consultants partnered with Galaxy Backbone to equip participants with digital skills and tools to explore opportunities created by technological innovation.

According to her, the summit seeks to promote a new approach to retirement planning in Africa by helping participants develop plans tailored to their finances, careers, health and post-service goals.