Labour Laws In Nigeria: Top 30 Facts Nigerian Workers Need Know To Know

Most of the workers in Nigeria are ignorant of their rights,in this post we will take a look at Labour Laws In Nigeria and some of the quick facts and information that workers in Nigeria need to know. 

Labour Laws In Nigeria

The Nigerian Labor Law has some rules and laws which tends to looks into the rights, working conditions, minimum wage, termination clauses Etc of workers in nigeria. 

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The Nigerian Labor Law was put into place in 2004.The Labour law states how the relationship between the employer and the employee should be in Nigeria.

Listed below is all the Labor Laws In Nigeria that applies to all the workers in Nigeria.

Labour Laws In Nigeria: Quick Facts

1. The Nigerian labour law seeks to state how the relationship between the government and its workers should be,and also  the work relationship between publicly owned corporations and their workers and private employers and their workers.

2. The Nigerian labour act of 1990 is divided into five different parts.

3. A lot of people argue that the Labour act is not applicable to all classes of employees in Nigeria. Some say that for example if your professional,then you are not covered by the act,that the labour act is written in such a way that it only covers employees engaged under a contract of manual labour or clerical work in private and public sector.

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4. Every worker in Nigeria should know that forced Labour is illegal.It is illegal to force anyone to work for you.This is clearly stated under the 1999 constitution and also restated in the Labour Act. 

5. All employees must have a written contract.The Labour Act states that an employer must give an employee a written contract within 3 months of the commencement of the employment. The contract must also contain certain key terms such as: name of employer/employee,nature of employment, duration, wages etc. 
If there is any change to the contract,the employee should be notified within 1 month.

6. The labour act states that the standard for the minimum amount of salary to be paid a worker in Nigeria is ₦18,000.00 per month.

7. It is totally illegal for any job contract to issue payment every quarterly or every 6 weeks,such a job contract is illegal. 

8. No employer can impose any restrictions as to the place and manner in which the employee can spend his/her wages. So for example your employer can’t insist that you only buy lunch from the office canteen.

9. Employers are not allowed to provide an advance of wages in excess of 1month wages.

10. No employer is allowed to deduct an employee’s salary for any reason,unless for an explanable reason such as a loss or an injury cause by the employee to the employer,but before such act can be carried out,the employee should be notified of such action. 

11. In the scenario where a employer over pays an employee mistakenly,the money which was overpaid can only be deducted within 3 months from the date of the over payment. Any attempt by an employer to deduct the over payment from your future salary after the expiration of this 3 month grace period is totally illegal. 


12. Employees in Nigeria are free to join different trade unions and labour associations,any employment contract that prevent workers from joining trade unions is absolutely illegal.

13. Any worker that works for more than 6 hours a day,must be given at least 1 hour of rest-interval break in that day. 

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14. Every worker in Nigeria ,after working for 7 days,is entitled to at least 1 day of rest which must not be less than 24 hours. 

15. Every Nigerian worker is also entitled to 12 days sick leave for any temporary illness,however this illness has to be certified by a registered medical practitioner.

16. After working for 12 consecutive months, a worker  is entitled to a holiday with full pay of at least 6 working days.

17.  All female employees in Nigeria are entitled to at least 12 weeks maternity leave with full pay. 

18. An employee must show consent before being transferred from one employer to another,this scenario happens when a workers company is over taken by a new company. 

19. An employer can terminate an employee job with a minimum of 1-day notice, if the employee has been employed for a period of 3 months or less.

20. If however an employee has been employed for a period of 2 years but less than 5 years, his/her employer can terminate the contract with a minimum of 2-weeks notice. 

21. In the case scenario where the employee has been employed for a period of 5 years or more then a notice of termination with more than one week notice should be issued.

22. Employees of less than 1 week or more, will should be notified in a written letter. 

See Also: Top 25 Fundamental Human Rights In Nigeria 

23. It's compulsory for workers,working in Nigeria's public and private sector to contribute 7% of an employee’s paycheck towards the workers pension. 

24. On the death of the employee,the employee's next of kin will receive their pension and any benefits from their life insurance policy. 

25. Under legislation passed in 2004,employees under 16 years old after working for 12 months are entitled to 12 leave day as against the 21 days leave for adults. 

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26. In a situation where employees have to travel over 16 km (9.94 mi) to get to work,the labor act stipulates that the employer might provide free transportation for the employees,however the vehicle used to transport the employees must be in good condition. 

27. Under Nigerian Law, employees or workers who make over ₦3,000 must also contribute 2.5% of their paycheck to the National Housing Fund, which is controlled by the Federal Mortgage Bank of Nigeria. Any company who fails to deduct 2.5% from a paycheck of an employer could face a fine of ₦50,000.

Read Also: List Of All The Compulsory Insurance Policies In Nigeria 

28. The two ways employees can be sacked is in the event of the death of an employee or by termination by the employer as long as the employer gives the employee a notice,this is according to the Labour Act of 2004. However all outstanding  payments most be made to an employee before his contract is terminated. 

29. Any employer in Nigeria that employs less than 50 workers do not have to abide to the Nigerian minimum wage of ₦18,000.00 per month.