The administration of Governor Adegboyega Oyetola of Osun State has approved the new minimum wage for workers in the state effective from November 1 this year.
The Governor also lifted the ban on annual salary increment effected 8 years ago and lifted the embargo on promotion and conversion with immediate effect.
Addressing labour unions in the state, Governor Oyetola said the approval for the minimum wage would increase the state wage bill by N750million, but added that his administration has introduced measures, which include fiscal discipline and creative innovation, to meet the challenge posed by the increment.
A copy of the agreement reached between government and labour unions, a copy which was obtained by Vanguard, showed that workers on GL 01-06 would get the new enacted minimum wage as approved by the National Minimum Wage Act of 2019.
It reads further, “that the consequential adjustment/increase of GL. 07 and above should be 5% of basic salary which is subject to upward review as economy of the State improves;
“That Medical and Health workers’ consequential adjustment shall be based on 2% of basic component of their consolidated salary which is subject to review as the economy of the State improves;
“That officers who benefited from the last promotion exercise should enjoy financial implication of one out of the multiple promotions earned, while financial implication of other promotions should be effective within the next one year”. Meanwhile Governor Oyetola while announcing the approval of the new wage said he took the bold step to fulfil his promise on prioritising welfare of workers despite stringent economic condition in the state.
“In our resolve to deliver welfare to our workers to improve their efficiency, we set up the Government/Labour Committee to work out the modalities for resolving all workers’ welfare-related issues, including the minimum wage.
“The Committee has submitted its report and after an exhaustive perusal of the recommendations, I am pleased to announce to you as follows: “Minimum wage implementation with the promotion will commence in the State of Osun effective November 1, 2020.
The ban on Annual Salary Increment which was done in 2012 is lifted and the embargo on promotions and conversions is also lifted with immediate effect”, he said.