In recent times, the topic of minimum wage has become a major conversation across Nigeria, especially as the cost of living continues to rise. With inflation biting harder and the purchasing power of the naira weakening, workers across the country have been crying out for improved wages. In response to this growing pressure, the Ogun State Government has made a bold move by approving a new minimum wage of ₦77,000 for civil servants within the state. This update, which became effective from October 2024, makes Ogun State one of the few states that has taken decisive action to improve the welfare of public workers.
This development has been widely celebrated not just in Ogun, but across the country, as it sets a new benchmark that other states are now being encouraged to follow. In this post, we’ll break down the details of the wage increase, the categories of workers affected, how it compares to other states, the reactions from labour unions, its likely economic impact, and the long-term outlook for civil servants in Ogun State.
Background to the Wage Adjustment
Before the adjustment, Ogun State civil servants were receiving the national minimum wage of ₦30,000, which was no longer realistic due to economic changes in the country. The prices of essential commodities such as rice, garri, fuel, electricity, and transport had skyrocketed, making it nearly impossible for a worker earning ₦30,000 per month to survive, not to talk of supporting a family.
For months, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) in Ogun State had been negotiating with the government, calling for a wage review. Eventually, the discussions yielded positive results, and on October 1st, 2024, the State Governor, Prince Dapo Abiodun, officially approved the new ₦77,000 minimum wage.
Implementation and Scope of the Wage
One of the key things that stood out in the wage announcement was the governor’s insistence on immediate implementation. According to the directive given by the Secretary to the State Government (SSG), Mr. Tokunbo Talabi, no civil servant in Ogun State should earn less than ₦77,000 starting from October 2024.
The wage adjustment affects the following categories of workers:
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State Civil Servants
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Local Government Employees
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Teachers in Public Primary and Secondary Schools
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Non-Academic Staff in Government Institutions
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Pensioners (with adjustments made to benefits in line with the new wage)
The Governor also directed that private sector employers in the state should try to key into the policy and review their wage structures accordingly. To ensure compliance, the government announced the creation of a monitoring team that would follow up on both public and private sector employers.
Salary Structure Based on the New Minimum Wage
Although the state government has not published a detailed breakdown of all grade levels, it is clear that the ₦77,000 forms the baseline. This means that:
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Workers on Grade Level 01 to 06, who are usually cleaners, drivers, clerical staff, and junior officers, will earn a minimum of ₦77,000.
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Middle-level workers on Grade Level 07 to 10 will receive significantly higher salaries, depending on their step and responsibilities.
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Senior officers on Grade Level 12 and above will benefit from adjustments that reflect the rising wage baseline.
It is expected that the Consolidated Public Service Salary Structure (CONPSS) will be used to adjust salaries accordingly across all departments.
Reactions from Labour Unions and Civil Servants
The new minimum wage was met with widespread excitement among labour leaders and civil servants in the state. The NLC Chairman in Ogun State, Comrade Hameed Benco, thanked the governor for his proactive approach and said that Ogun State had taken the lead in responding to the cry of workers.
The TUC Chairman, Comrade Akeem Lasisi, also described the new wage as “a giant leap for workers’ dignity.” According to him, the negotiation process was cordial and showed that the government truly cared about its workforce.
The Joint Negotiating Council (JNC), led by Comrade Isa Olude, further praised the governor and promised that workers in the state would continue to put in their best, now that the government has taken a step to motivate them.
Economic Impact of the Wage Increase
1. Improved Worker Welfare
The immediate benefit of the new wage is a direct improvement in the standard of living for civil servants. With ₦77,000, workers can now better afford rent, school fees, food, healthcare, and transportation.
2. Boost to the State’s Economy
When workers earn more, they spend more. This increase in purchasing power will stimulate economic activities in local markets, shops, transport systems, and service providers across Ogun State.
3. Increased Revenue Generation Pressure
While the wage increase is commendable, it also means a heavier financial burden on the state. The government must find creative ways to increase Internally Generated Revenue (IGR) so it can continue to meet this obligation consistently.
4. Benchmark for Other States
With this development, Ogun State has set a strong example for other states in Nigeria. Labour unions in other states are now using Ogun’s ₦77,000 wage as a reference point in their own negotiations.
Challenges and Expectations
Despite the celebration, some concerns remain. Many civil servants are watching to see if the implementation will be consistent. In the past, some states have announced wage increases but later failed to pay due to financial challenges.
To avoid this, Ogun State must:
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Ensure prudent financial management.
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Expand its tax base without overburdening the poor.
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Explore partnerships with private investors to improve infrastructure and job creation.
There is also the expectation that pensions and gratuities will be reviewed to align with the new wage structure, so that retired workers are not left behind.
Summary Table: Ogun State Minimum Wage (2025 Update)
Item | Details |
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Approved Minimum Wage | ₦77,000 |
Effective From | October 2024 |
Governor | Prince Dapo Abiodun |
Covered Workers | All civil servants and public workers |
Monitoring Team | Yes – to ensure full compliance |
Encouraged Private Sector Wage | Also advised to increase wages |
Previous Minimum Wage | ₦30,000 (National Minimum) |
Basis for Adjustment | Inflation, cost of living, union negotiations |
Conclusion
The approval and implementation of a ₦77,000 minimum wage in Ogun State is a game-changer in Nigeria's public service structure. It reflects a responsive government that listens to its people and takes bold steps to address economic realities. With increased wages, workers can now live more comfortably, and the state's economy stands to benefit from increased consumer spending.
However, sustaining the wage increase will depend on proper planning, increased revenue generation, and accountability in public finance. The ball is now in the court of other state governments to follow Ogun’s lead and create a more dignified and rewarding environment for their workers.
Ogun State has raised the bar—and raised it well.