The House of Representatives is pushing for a law that would make it a crime for employers across the country to delay or refuse salary payments to their workers.
As gathered by Quest Times, Wale Hammed, a member representing the Agege Federal Constituency, Lagos State, is behind the proposed legislation, titled “The Employees Remuneration Protection Bill, 2023,” which has recently cleared its first legislative hurdle.
Under the proposed law, employers who fail to pay their employees, as outlined in the legislation, could face imprisonment ranging from three to six months.
The bill also introduces a mechanism allowing employees to submit written claims if their compensation is not received within the specified timeframe.
Also, if an employer does not comply within five business days after receiving such a claim, the affected employee can seek redress in court.
Additionally, corporate entities that disregard court orders related to employee remuneration may face a daily fine of N10,000 or closure for up to three months.
The bill imposes a N10,000 penalty on any officer or agent of an organization who knowingly allows or authorizes noncompliance with the directive until it is rectified.
Furthermore, the proposed legislation mandates employers to furnish returning employees with written terms of employment within 14 working days, covering comprehensive details such as terms and conditions, remuneration, payment methods, employment nature, and termination procedures.
Importantly, the bill safeguards employees who petition the court for unpaid remuneration, ensuring that such actions cannot be grounds for disciplinary measures, inquiry, suspension, or termination by the employer.
In cases of employer bankruptcy, the proposed law prioritizes settling outstanding remuneration to employees, emphasizing fair treatment during financial crises.