FG Lists Two Places Employers are not Allowed to Pay Workers Their Salaries, Mentions Those Exempted

• Nigerian labour law sets out specific rules on where employers are allowed to pay workers their wages
• The law bars wage payments in premises that sell intoxicating liquor or operate as retail goods outlets
• An exception exists under the rule for workers who are actually employed at those same premises

Nigerian law restricts where employers can pay wages to workers, barring payments from being made in certain commercial premises across the country.

Under the relevant labour provisions, wages must not be handed to a worker inside any premises used for selling intoxicating liquor or for the retail sale of goods.

Where wage payments are prohibited

The rule covers two broad categories of premises: those engaged in the sale of alcoholic or intoxicating liquor, and those that operate as retail outlets for general goods. Any employer who pays a worker their wages at such a location would be in breach of the law.

The concern behind the restriction is rooted in protecting workers from environments where they might be pressured to spend their earnings on the spot, particularly in establishments that sell alcohol.

Who is exempt from the rule

The law does carve out a clear exception. A worker who is actually employed at the premises in question may still receive their wages there. So, for example, a bartender paid at the bar where they work, or a shop assistant paid within the retail outlet where they are stationed, would not fall foul of the restriction.

The exception is narrow and applies only to workers whose place of employment is the same premises where the wage payment takes place. Workers who simply happen to be present at such a location for other reasons do not qualify for the exemption.

Employers and payroll officers are expected to take note of these rules when arranging wage disbursement to avoid violations of Nigerian labour law.

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