In order to safeguard the rights of informal workers, the Senate has approved a bill for second reading that would regulate informal employment and permit private employment agencies to be licensed.
Senator Mohammed Sani Musa is the sponsor of the proposed law, which is known as the Informal Sector Private Employment Agencies (Regulation) Bill 2025.
While giving the National Directorate of Employment (NDE) regulatory authority, the law seeks to formalize employment in the unregulated sector, which includes domestic workers, apprentices, interns, and other unregulated occupations.
Leading the debate on the Senate floor, Senator Musa said the bill was aimed to address “widespread labour rights violations, abuse, and the lack of regulation in the informal sector,” which he described as a vital but vulnerable component of Nigeria’s workforce. “Despite its economic importance, the informal sector is plagued by unfair working conditions, low wages, and poor social protections,” he said.
The senator said that the bill would empower the NDE to grant licenses to private employment agencies and ensure they operate under “standardized, transparent, and fair practices”.
He went on to say that licensed organizations would have to keep track of workers in the unorganized sector, defend their rights, and make sure that only firms using lawful professions and fair labor practices are hired.
Additionally, the law suggests that the NDE designate license officers around the country to oversee adherence to and implement the suggested rules.
The bill passed for second reading despite a single voice of objection, and it was then sent to the Senate Committee on Labour and Employment, which is anticipated to provide a report in six weeks.