Nigerian Minister of Information Mohammed Idris announced on Thursday that the Nigerian government and main labor unions have agreed on a new monthly minimum wage of 70,000 Naira ($44) after months of negotiations and threats of strikes. The agreed-upon amount has more than doubled the current minimum wage but is still six times lower than the unions’ original demand.

The two biggest labor unions in Nigeria, the Nigerian Labour Congress (NLC) and the Trade Union Congress (TUC) have been arguing that inflation and devalued currency resulting from reforms initiated by President Bola Tinubu had caused a widespread cost of living crisis, leaving Nigerian workers struggling to meet their basic needs. The unions organized strikes on June 3, causing flight disruptions at the Lagos Airport and a complete shutdown of the national grid. On June 4, the unions agreed to pause the strike pending negotiations with the federal government but warned that failure to conclude an agreement could prompt new actions.

The unions originally demanded the minimum wage to be increased from 30,000 Naira ($20.02) to 494,000 Naira ($329,60) per month. While the demand then moved away from the original 494,000 Naira, the unions have previously rejected the government’s offers of 62,000 Naira ($37.92) and 100,000 Naira ($61.17) in June, insisting on an amount of 250,000 Naira ($152.92) as their latest demand. The negotiations then encountered a deadlock that had been lasting for months.

While he agreed on the new minimum wage of 70,000 Naira on Thursday, NLC President Joe Ajaero said that they are taking this offer with mixed feelings. “We have to move ahead despite the situation otherwise the negotiation can linger,” Ajaero said.

In addition to the new minimum wage, the government and the unions have also agreed to have the minimum wage to be reviewed every three years instead of the customary five years. 

Minister Idris said that President Tinubu will send the new National Minimum Wage to the National Assembly for legislation soon.