asuustrike1:
Minimum wage is the lowest wage permitted by law or by a special agreement. Hence it is the least that can be paid by an employer be it private or public. This wage rate doesn't affect high income earners and even if it does, just a slight increment. An employer employing more than 6 persons should pay the minimum wage required by the law of the country.

Applicable only to employers with minimum of 25 and above workforce.

CodeSapien:
Minimum wage affects the lower salary earners below the new minimum wage mark. A small adjustment may be made for higher earners but nothing is guarantied.

U dont know what u are saying.

asuustrike1:
Minimum wage is the lowest wage permitted by law or by a special agreement. Hence it is the least that can be paid by an employer be it private or public. This wage rate doesn't affect high income earners and even if it does, just a slight increment. An employer employing more than 6 persons should pay the minimum wage required by the law of the country.

Stop deceiving people here..

CodeSapien:
Minimum wage affects the lower salary earners below the new minimum wage mark. A small adjustment may be made for higher earners but nothing is guarantied.

I fail to agree wit u totally here.

If u effect the minimum wage it will definitely affect almost every staff unless if the organization is not running a uniform salary structure.

Let me explain a bit. In salary structure, we have what is called GRADE LEVEL and STEPS.
You may be in Grade Level A Step 1. Let's take this as the salary of a new entrant.
In each of the levels, there are different Steps, let's say Step 1-14. U move from Step 1 to Step 2 ones every year. When u complete these steps, U may move to the next Level, say Level B Step 1.

Assuming that before the New Minimum Wage, A new staff on Level A Step 1 was earning N18,000 and another Staff that has put in 3 years in the company who is in Level A Step 3 was earning N30,000. Now u want to implement the new Minimum Wage of N30,000, you will increase the salary of that new staff from N18,000 to N30,000. This will mean that the new staff will start earning salary that is equal to the staff that had put in 3 years in the company.

To avoid this kind of clash, you will like to effect the same minimum wage to that staff on Level A Step 3. When u do this, u will see that it will also clash with the next level or step of staff. To avoid this unhealthy clashes, u have to effect the new change to all Levels and Steps in that salary structure of the company.

There are several ways to calculate it as long as one would arrive at the correct figure. As for my own method; 30k-18k+ present salary.

You too like money

CodeSapien:
Minimum wage affects the lower salary earners below the new minimum wage mark. A small adjustment may be made for higher earners but nothing is guarantied.

you dont know what you are saying sir.

The calculation depends on your employer. They all calculate it differently. It's only those below 30k that will automatically be upgraded

CodeSapien:
Minimum wage affects the lower salary earners below the new minimum wage mark. A small adjustment may be made for higher earners but nothing is guarantied.

no natter how big or how small your salary is presently, minimum wage affects everyone in respective of you present wage

asuustrike1:
Minimum wage is the lowest wage permitted by law or by a special agreement. Hence it is the least that can be paid by an employer be it private or public. This wage rate doesn't affect high income earners and even if it does, just a slight increment. An employer employing more than 6 persons should pay the minimum wage required by the law of the country.

Not 6.
Do your research properly

All thanks to his mummy

emmasege:
Don't Tell me your salary is 12k per month. How do you stay online and on nairaland?

asuustrike1:
Minimum wage is the lowest wage permitted by law or by a special agreement. Hence it is the least that can be paid by an employer be it private or public. This wage rate doesn't affect high income earners and even if it does, just a slight increment. An employer employing more than 6 persons should pay the minimum wage required by the law of the country.

It's more than 25 people.

CodeSapien:
Minimum wage affects the lower salary earners below the new minimum wage mark. A small adjustment may be made for higher earners but nothing is guarantied.

You are very wrong, it affects all workers, if u go by small adjustments then some lower salary earners will earn same or more than some mid salary earners

miketayo:


It's more than 25 people.

Which country because I wasn't specific of any ?

Cacawa2:


Not 6.
Do your research properly

Which country if I may ask?

Poorboy:
What's the calculations if a minimum wage is added, if someone earn now 99k and minimum wage moves to 42k from the present 18k what is the expected salary of the person earning 99k now?

you would hv used the N18k to N30k stuff to make the explanation more simpler. ...

Psoul:


I fail to agree wit u totally here.

If u effect the minimum wage it will definitely affect almost every staff unless if the organization is not running a uniform salary structure.

Let me explain a bit. In salary structure, we have what is called GRADE LEVEL and STEPS.
You may be in Grade Level A Step 1. Let's take this as the salary of a new entrant.
In each of the levels, there are different Steps, let's say Step 1-14. U move from Step 1 to Step 2 ones every year. When u complete these steps, U may move to the next Level, say Level B Step 1.

Assuming that before the New Minimum Wage, A new staff on Level A Step 1 was earning N18,000 and another Staff that has put in 3 years in the company who is in Level A Step 3 was earning N30,000. Now u want to implement the new Minimum Wage of N30,000, you will increase the salary of that new staff from N18,000 to N30,000. This will mean that the new staff will start earning salary that is equal to the staff that had put in 3 years in the company.

To avoid this kind of clash, you will like to effect the same minimum wage to that staff on Level A Step 3. When u do this, u will see that it will also clash with the next level or step of staff. To avoid this unhealthy clashes, u have to effect the new change to all Levels and Steps in that salary structure of the company.

And what if the disparity in salaries is huge would the employer still increase other levels. For example Grade level 8 officer earns N18,000 while level 9 earns 50,000

so simple. .in naija, they moved from N18k to N30k.....just add N12k to your present monthly salary as well as arrears. ...

But if minimum wage is for the lowest earning employee... Won't at some point, after continuous increase in minimum wage, all of us wey dey above m and below m go soon dey earn d same salary na? Abi? Since u saying it only affects the lower cadres below d minimum

This Minimum Wage represents 66.67% increase on the 18,000 minimum wage.

So if you are presently receiving 99k your pay now will be 66.67% X 99,000 = 66.003.3 increase

99,000 + 66,003.3 = N165,003.3 as the new minimum wage.

(presentsalary X 30000)÷18000 =

What will become a junior officer who earns 30k at the moment after this minimum wage? Will the salary of a cleaner earning 15k before now be made same as 30k? This is exactly what this thread is talking about. The multiplier or ripple effects will affect all salary grades across board be it high earners, middle and low earners. So how will these calculations be made, I ask again? I don't believe you will upgrade an employee salary from 15k to 30k without moving the employee earning 30k upward with the same factor. Things look crazy, aren't they?

asuustrike1:

Which country because I wasn't specific of any ?

Which country are u residing

emmasege:
Don't Tell me your salary is 12k per month. How do you stay online and on nairaland?

I wonder O

First get the % change of the former and latter minimum wage X by 1 then multiply by gross salary before deduction. i.e 30,000 X 18, 000 x 1= 1.667 X Gross Salary.

asuustrike1:

And what if the disparity in salaries is huge would the employer still increase other levels. For example Grade level 8 officer earns N18,000 while level 9 earns 50,000

If u had read my comment very well, you would have seen that I already answered that question in the second line of my comment.
Below is part of my comment.

I fail to agree wit u totally here.

If u effect the minimum wage it will definitely affect almost every staff unless if the organization is not running a uniform salary structure.

With ur example, it is very clear that the company is not running a uniform salary structure or they don't even have salary structure. You will see this kind of disparities mostly in all these privately own companies and especially in those that don't have the presence of Labour Union in them.

Poorboy:
What's the calculations if a minimum wage is added, if someone earn now 99k and minimum wage moves to 42k from the present 18k what is the expected salary of the person earning 99k nouw?

why using 42k as example? Why not use the 30k minimum wage.

How To Calculate Your New Salary After The Implementation Of The New National Minimum Wage Bill:
Writing by::;
MALAM MAMUDA KABIR DUTSINMA.
The Formula;
x=(a×b)÷c
where a = the present salary
b = new minimum wage
c = previous minimum wage
x = new salary.

e.g. someone receiving alert of ₦25,000
can be solved thus, (25,000×30,000)÷18,000=41,666.66
therefore, new monthly alert would be ₦41,666.66.
Pls share and forward this message to help others.
Writer by::;
MALAM MAMUDA KABIR DUTSINMA.[/color][color=#000000]

Just like somebody pointed above, it should affect everybody in the workforce with a percentage increase of 66.67%. but I am not sure if government would want to pay everyone cos they can't be trusted. Normally, everybody should get a pay rise but I know private organization may not follow cos there is no relative increase in their business returns...

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Psoul:


I fail to agree wit u totally here.

If u effect the minimum wage it will definitely affect almost every staff unless if the organization is not running a uniform salary structure.

Let me explain a bit. In salary structure, we have what is called GRADE LEVEL and STEPS.
You may be in Grade Level A Step 1. Let's take this as the salary of a new entrant.
In each of the levels, there are different Steps, let's say Step 1-14. U move from Step 1 to Step 2 ones every year. When u complete these steps, U may move to the next Level, say Level B Step 1.

Assuming that before the New Minimum Wage, A new staff on Level A Step 1 was earning N18,000 and another Staff that has put in 3 years in the company who is in Level A Step 3 was earning N30,000. Now u want to implement the new Minimum Wage of N30,000, you will increase the salary of that new staff from N18,000 to N30,000. This will mean that the new staff will start earning salary that is equal to the staff that had put in 3 years in the company.

To avoid this kind of clash, you will like to effect the same minimum wage to that staff on Level A Step 3. When u do this, u will see that it will also clash with the next level or step of staff. To avoid this unhealthy clashes, u have to effect the new change to all Levels and Steps in that salary structure of the company.

Bros you are still explaining the same thing he said na..He said minimum wage affects "majorly" people earning below the minimum wage but just a little adjustment for higher earners....Is that not the same explanation you are giving here? Where is the disagreement? If you are already a senior staff (GL 8 and above) don't expect any significant increment.....Na so i warn my aunt who got promoted from GL12 to 13 and was expecting a big difference she no gree hear me, when she received alert of 3k increment she nearly fainted.