N1m Minimum Wage: NLC President Ajaero Raises Alarm Over Nigeria’s Economy

Nigeria Labour Congress (NLC) President Joe Ajaero has cautioned that introducing a minimum wage of ₦1 million could destabilise the country’s economy, arguing that the government should focus on reducing the cost of living and improving the naira’s purchasing power.

According to a report published by DAILY POST on Thursday, October 29, 2026, Ajaero made the remarks during an interview on Channels Television while discussing ongoing conversations between organised labour and the Federal Government over a possible increase in workers’ minimum wage.

The labour leader maintained that the key issue was not simply the amount workers received as salaries, but the value of those earnings in an economy where the prices of essential goods and services continue to rise.

He warned that raising wages without addressing the economic conditions driving inflation could worsen existing problems instead of providing lasting relief to Nigerian workers.

“N1,000,000 minimum wage will collapse the Nigerian economy,” Ajaero declared.

He stressed that the government needed to introduce measures to bring down the cost of basic necessities and strengthen the purchasing power of the naira to improve workers’ living conditions.

Ajaero’s comments come as households across Nigeria continue to grapple with rising expenses, including food, transportation, rent and other essential needs. The pressure on household budgets has intensified calls from workers and labour organisations for better wages and stronger protections against inflation.

Although the minimum wage debate remains central to organised labour’s campaign for improved workers’ welfare, the NLC president’s position highlights concerns that increasing salaries alone may not adequately address the country’s economic difficulties.

The labour leader also spoke against the backdrop of the Federal Government’s reported approval of a ₦70,000 transport allowance for workers, introduced as fuel prices continue to place additional pressure on commuting costs.

The allowance is expected to provide some assistance to employees struggling with transportation expenses. However, questions remain about whether the support will be sufficient to offset the broader effects of rising prices on household incomes.

As discussions over a possible minimum wage adjustment continue, the government faces the challenge of responding to workers’ demands for improved earnings while maintaining economic stability.

Ajaero’s remarks underscore the need for a broader approach to improving living standards, including efforts to contain inflation, make essential goods more affordable and ensure that workers’ salaries retain their purchasing power.

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