Oyo State Governor, Seyi Makinde, has announced an unprecedented salary increment for workers in the state, with a new minimum wage of N80,000 set to take effect on January 1, 2025. This move, described as the most generous among Nigerian states, is expected to increase the government’s monthly wage bill from N6.4 billion to a staggering N11.9 billion.
In a statement released by Prince Dotun Oyelade, the Commissioner of Information and Orientation, the decision underscores the governor’s commitment to prioritizing workers’ welfare without neglecting broader developmental goals. “Governor Makinde is determined to cater to the welfare of workers while not compromising the welfare of the generality of the people and the critical sectors,” Oyelade said during a meeting with Nigerian Labour Congress (NLC) Chairman, Comrade Kayode Martins, on Tuesday.
With this 86% increase, Oyo State has taken a bold lead among Nigerian states in ensuring robust compensation for its workers. The N80,000 minimum wage, coupled with consequential adjustments across all grade levels, positions the state as a beacon of labor-friendly policies.
“Oyo State is giving more to workers beyond expectations,” Oyelade emphasized, adding that the state government will now commit over N143 billion annually to salaries and wages. He also noted the governor’s proactive measures in averting promotion-related crises, stating, “Governor Makinde announced a four-year promotion of workers to resolve longstanding issues before he assumed office in 2019.”
The new wage structure will see workers on Grade Levels 1 to 6 moving from N30,000 to N80,000, representing a N50,000 increment. Those on Grade Level 7 and above are set to benefit even more, with salary adjustments ranging from N70,000 to over N180,000 depending on their positions. For instance, a worker on Grade Level 17 earning N170,000 monthly will now take home N360,000.
Comrade Martins praised the initiative, describing Makinde as a “workers’ governor.” He highlighted the governor’s consistency in supporting labor, recalling that Oyo was the first state to implement the previous N30,000 minimum wage and the first to begin negotiations on the new wage, even before the Federal Government approved the N70,000 minimum wage.
“No state in Nigeria has matched this level of commitment to its workforce,” Martins said, contrasting Oyo’s policy with the federal government’s N40,000 adjustment and Ogun State’s N42,000 increment. “Oyo State has the largest workforce in the South West, yet it remains the most generous.”
The labor leader also underscored the broader implications of the policy, noting how timely salary payments have boosted worker morale and positively impacted the state’s economy. “The prompt payment of salaries on the 25th of every month is unquantifiable in boosting the morale of workers and the state’s economy,” he said.
The cordial relationship between the Makinde administration and labor unions has been evident in the state’s exemption from recent industrial actions led by national labor unions. During the last nationwide strike on December 2, Oyo workers remained at their posts, a testament to the mutual respect and cooperation between the state government and its workforce.
Oyo’s groundbreaking wage policy comes at a time when many states are struggling to meet existing salary obligations. Governor Makinde’s decision to implement the new wage ahead of schedule reflects a well-thought-out fiscal strategy. It also highlights the administration’s capacity to sustain a workforce of over 23,000 new recruits without financial strain.
Observers have noted that this approach sets a new standard for labor relations in Nigeria. The move contrasts sharply with the challenges faced in other states, where strikes and delays in salary payments are commonplace.
Since assuming office in 2019, Governor Makinde has consistently championed workers’ welfare. His administration’s proactive measures have resolved longstanding grievances and set the state on a path of economic stability. “Oyo State workers enjoy a level of motivation and support that is rare in Nigeria,” Oyelade remarked. He attributed this success to Makinde’s understanding of labor issues and his commitment to addressing them comprehensively
