Minimum Wage
General
The national minimum wage in Nigeria is currently 30,000 NGN per month.
Payroll
Payroll Cycle
In Nigeria, the payroll frequency is monthly, bi-weekly or weekly. The payment for salaries is to be made at least once a month.
13th Salary
There are no statutory requirements for 13th-month salary payments. However, bonuses are common at the discretion of the employer.
Working Hours
General
The standard working week in Nigeria consists of 48 hours, 8 hours per day.
Overtime
All work more than the standard working hours a week is to be paid as overtime and is regulated by employment contract/collective agreements. When an employee is requested to work overtime or work on holidays, there are maximums in relation to the number of hours allowed.
All overtime hours in excess of 48 hours a week are paid at an overtime compensation rate; this rate is stipulated in the employment contract/collective agreements.
Working Week
Monday-Friday
Leave
Paid Time Off
If an employee has been employed for 12 months, they are entitled to 6 days of paid annual leave.
Public Holidays
There are 13 public holidays.
Sick Days
Employees are entitled to 12 days of paid sick leave per year following the presentation of a medical certificate after two days of absence.
Maternity Leave
Female employees within the public sector are entitled to 16 weeks of maternity leave at 100.00% of the employee’s average pay rate. In contrast, private-sector employees are entitled to 12 weeks of paid maternity leave at 50.00% of the employee’s average salary. Employees receive this entitlement following six months of consecutive service within the company.
Paternity Leave
Fathers/parents in the stats of Lagos and Enugu are entitled to two to three weeks of paid paternity leave.
Parental Leave
There are no provisions in the law regarding parental leave.
Other Leave
There are no provisions in the law for additional statutory leave.
Termination
Termination Process
The termination process varies according to how the Employment Agreement and Collective Agreement are in place and is based on the type of contract and reason for termination. Employment can be terminated at any time by either the employer or the employee providing notice is given.
Notice Period
In Nigeria, the notice period of an employee is dependent on their seniority, as follows:
- One day is required for three months of less service.
- One week for three months to 2 years
- Two weeks for 2 -5 years
- One month for five or more years
Severance Pay
Severance pay is outlined in the employees’ employment contract/collective agreement; there is no legal obligation to pay any severance.
Probation Period
Probation periods are outlined in the employees’ employment contract/collective agreement; there is no legal requirement for a probation period.
VISA
VISA
Nigeria’s immigration system provides several options for employers of foreign nationals. Nigeria is a member of the Economic Community of West African States (ECOWAS); its immigration program provides ECOWAS-specific provisions. Requirements, processing times, employment eligibility, and benefits for accompanying family members vary by permit type.
Business visitors from non-ECOWAS member states may use the business visa for stays of up to 90 days. This visa can be extended in Nigeria for another 30 to 90 days, at the authorities’ discretion.
ECOWAS nationals are visa-exempt and may enter Nigeria with a valid passport.
Non-ECOWAS nationals require an extension and to pay the corresponding fee for any stay beyond 56 cumulative days in 12 months.
The Temporary Work Permit is suitable for foreign nationals undertaking short-term technical assignments (e.g., after-sales installation, maintenance, repairs of machines, and equipment). It permits a single entry to Nigeria for work for up to 90 days.
The Combined Expatriate Residence Permit and Aliens Card (CERPAC) or the Temporary Work Permit (TWP) are suitable for foreign nationals undertaking work, depending on their intended length of stay.
VAT
General
The standard rate of VAT in Nigeria is 7.50%
