The United States government has voiced concerns over Nigeria’s new national minimum wage of N70,000, warning that it falls short of lifting Nigerians out of poverty amid worsening economic conditions.
Released on August 12, 2025, the US Department of State’s 2024 Country Reports on Human Rights Practices highlighted that the minimum wage, currently around $47.90 per month at an exchange rate exceeding N1,500 to the dollar, has been significantly undermined by the continued depreciation of the naira.
Although the National Minimum Wage (Amendment) Act 2024 doubled the wage from its previous level, the report criticised the weak enforcement across the country. It noted that “many employers had fewer than 25 employees, so most workers were not covered,” revealing that the law applies mainly to firms with 25 or more full-time staff.
The report further pointed out that seasonal agricultural workers, part-time employees, and commission-based workers remain outside the protection of the new wage law. It stressed that between 70 to 80 per cent of Nigeria’s workforce operates in the informal economy, where wage regulations and occupational safety laws are scarcely enforced.
Labour inspectors are vastly insufficient to ensure compliance, leaving millions vulnerable to exploitation, the US assessment noted.
