Negotiations over a new national minimum wage in Nigeria have reached an impasse after organized labour groups rejected the federal government’s increased offer of N54,000 ($120 USD).

This comes after a previous walkout by labour representatives in protest of an initial N48,000 ($107 USD) proposal.

The latest development unfolded during a tripartite committee meeting on Tuesday. While the N54,000 offer represents a step up from the government’s earlier stance, it falls far short of the N615,000 ($1,368 USD) “living wage” demanded by labour unions.

Sources familiar with the negotiations reported that the meeting ended without a resolution and has been adjourned until Wednesday. Labour officials reportedly described the government’s offer as “unsubstantial” and a sign of a lack of seriousness on their part.

This is not the first time negotiations have stalled. The significant gap between the two sides’ positions raises concerns about the possibility of a prolonged deadlock.

What to Watch Next:

Whether labour unions will take any industrial action in response to the rejected offer.

Any potential compromise proposals that may emerge during the adjourned meeting or the impact of the ongoing negotiations on Nigeria’s economic climate.