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Certain Workers Excluded from Nigeria’s New N70,000 Minimum Wage: Tripartite Committee Report
As anticipation builds around the implementation of Nigeria’s new N70,000 minimum wage, a recent report reveals that not all workers will benefit from this increase. The Tripartite Committee on the New National Minimum Wage has outlined specific categories of workers who will not be eligible for the new wage, based on criteria beyond the minimum wage threshold.
The committee, consisting of key stakeholders such as the Minister of State for Labour and Employment, Onyejeocha Nkiruka, Governor Mohammed Bago of Niger State, labor leaders, and private sector operators, recommended changes to the eligibility criteria for receiving the minimum wage. Their report highlights several categories of workers who may be exempt from the new wage law.
Key Recommendations and Criteria for Exemption
- Employer Size and Revenue:
- The committee recommends that employers with fewer than 10 employees (reduced from the previous 25 employees as per the 2018 Minimum Wage Act) may be exempt from paying the new minimum wage.
- Businesses with less than N50 million in revenue per quarter or N200 million annually are also eligible for exemption.
- Business Type and Age:
- Nano businesses (managed by 1-3 persons with capital below N50,000) and micro enterprises with 10 or fewer employees are considered for exemption.
- Startups and businesses in existence for not more than three years could be exempted to encourage entrepreneurship.
- Sector-specific Considerations:
- Industries where staff remuneration is regulated by other Acts of the National Assembly may qualify for exemption.
- The committee suggests introducing hourly, daily, and weekly wage options for businesses that pay wages outside the traditional monthly system. This measure is intended to accommodate part-time and piece-rate workers in both the organized and informal sectors.
- Exemption by Application:
- Organizations may apply for exemption based on financial constraints such as insolvency, debt crisis, or other financial difficulties that threaten their existence. However, this does not apply to government entities or their ministries, departments, and agencies.
Rationale for Exemptions
The committee aims to prevent unfair exclusion of workers from decent earnings while considering the financial realities of small businesses. The approach focuses on a business’s revenue and financial capacity rather than its employee count, ensuring that exemptions are justified by financial evidence rather than arbitrary limits.
Formal vs. Informal Sector Wage Patterns
The report also differentiates between formal and informal wage patterns:
Informal Sector: Features varied wage patterns, such as commissions or daily sales-dependent pay. This sector also includes apprenticeships and other non-traditional employment arrangements.
Formal Sector: Includes government and organized private sector businesses where monthly salaries are prevalent. These sectors are typically the focus of national minimum wage laws.
News
Locked Exits and Flammable Decorations Under Investigation After Bangkok Bar Fire Kills 30
Thai authorities are investigating whether negligence contributed to the devastating fire that tore through a Bangkok bar, as the death toll has risen to 30.
Investigators are examining reports that emergency exits were locked and that highly flammable decorations inside the venue accelerated the spread of the blaze, which erupted near the stage late on Sunday.
Police General Kittiratt Phanphet said initial findings point to serious safety failures, describing the conditions inside the venue as evidence of “a lack of caution and disregard for the safety of the patrons.”
Emergency responders found many of the victims in the bar’s restrooms, where investigators believe they had sought refuge after attempting to escape the flames but were unable to get out.
Authorities said 27 of the victims had been formally identified by Tuesday morning. More than 70 people were injured in the fire, with 24 remaining in critical condition.
Preliminary investigations suggest the blaze was triggered by an electrical short circuit in an air conditioning unit, which quickly caused a power outage throughout the building.
Fire safety expert Busakorn Saensuk, from the Engineering Institute of Thailand, said an inspection of Rong Beer Na Lat Phrao found that a door near the restrooms was locked, while the venue’s main entrance was partially blocked by furniture and other obstacles.
She said patrons would naturally have fled away from the flames towards the rear of the building, only to find themselves trapped.
Busakorn also noted that emergency exit signs were not illuminated and said functioning signage could have helped people locate and open an escape route.
Investigators further found that the stage was decorated with highly flammable materials, including plastic flowers, while combustible foam had been used across the ceiling, allowing the fire to spread rapidly.
Survivors described the stage becoming engulfed in flames within seconds. Thai indie band Thotsakan, which was performing when the blaze broke out, confirmed that two of its members were among those killed.
News
Shipping Disrupted in Strait of Hormuz as US and Iran Exchange Overnight Strikes
Commercial shipping through the Strait of Hormuz has slowed significantly following a series of attacks on vessels and overnight military strikes between the United States and Iran, raising concerns over global energy supplies.
The disruption to traffic through the strategic waterway, a vital route for oil and fuel shipments to Europe and beyond, sparked fears of potential jet fuel shortages. However, the European Union’s Energy Task Force said after a meeting on Friday that fuel supplies remain stable despite the escalating tensions.
In a statement released on Saturday, the task force said the supply of jet fuel “remains overall stable so far” despite the volatile security situation in the Middle East. It also said there were “no immediate security of supply concerns” for oil and gas heading into the winter months.
While gas prices remain above pre-conflict levels, the task force noted that market volatility has been relatively limited and prices are still well below those seen during the 2022 energy crisis.
The UK’s Maritime Trade Operations (UKMTO) has reported several security incidents in and around the Strait of Hormuz in recent days. On 5 July, a cargo vessel was attacked by unidentified armed assailants off the coast of Yemen. A day later, a tanker caught fire after being struck by an unidentified projectile off the coast of Oman, although no casualties were reported.
On 7 July, another tanker sustained structural damage after being hit by a projectile, while a second vessel in the same area was struck by an uncrewed aerial vehicle, causing minor damage. Most recently, on 12 July, a container ship off the coast of Oman caught fire after being damaged, forcing its crew to abandon the vessel before being rescued by local authorities.
The UK, France and Germany jointly condemned what they described as Iran’s “reckless attacks” on commercial shipping in the Strait of Hormuz and surrounding waters, including Bahrain, Oman and Jordan. The three countries called for the swift and full restoration of safe navigation through the vital shipping corridor.
The latest developments come after the US military said it carried out a series of strikes in response to Iranian attacks on commercial vessels. Iran said it retaliated by launching strikes against US military bases in Kuwait, Jordan and Bahrain, further escalating tensions across the region.
News
At Least 27 Killed After Fire Engulfs Bangkok Bar
At least 27 people have been killed and 22 others are in critical condition after a fire swept through a bar in one of Bangkok’s popular entertainment districts.
Videos shared on social media captured panicked patrons fleeing the venue as towering flames erupted from the building’s entrance, sending thick smoke into the surrounding area.
Preliminary investigations by Bangkok’s disaster mitigation department suggest the blaze may have been triggered by an electrical short circuit in an air conditioning unit. However, authorities have not yet confirmed the official cause of the fire.
Prime Minister Anutin Charnvirakul, who visited the scene early on Monday, said a musician performing at the venue told him there was a loud blast before smoke and flames rapidly spread, prompting people to rush for the exits.
According to the musician, many victims were unable to escape after running to the back of the building and seeking shelter in the toilets as the fire intensified.
Firefighters, alerted by a passing motorist, arrived quickly and managed to bring the blaze under control within about 30 minutes. Despite their efforts, nine men and 18 women lost their lives.
More than 60 people were taken to hospital for treatment, with authorities confirming that 22 remain in critical condition as investigations into the tragedy continue.
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