Nigeria at 66: NLC demands new minimum wage, cheaper petrol

Nigeria Labour Congress President Joe Ajaero has demanded a new national minimum wage, cheaper petrol and an immediate nationwide wage award as Nigeria marks its 66th Independence anniversary, saying rising living costs have severely weakened the purchasing power of workers.

In an Independence Day statement issued on Wednesday, 30 September, Joe Ajaero said Nigerian workers and millions of other citizens were struggling with higher transportation, food, rent and education costs.

Also read: Tinubu declares ‘age of prosperity’ for Nigeria at 66

The NLC said petrol was selling for about ₦1,430 per litre or more in major cities, with prices higher in some remote locations.

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The union argued that rising fuel costs were feeding directly into transport fares and, from there, into the prices of food and other essentials.

“Without cutting this chain, any effort to ease the suffering of the people is futile,” the NLC said.

The labour centre wants the Federal Government to act immediately to reduce petrol prices, introduce a nationwide wage award covering federal, state and local government workers, and begin negotiations for a new minimum wage ahead of 2027.

The demands come more than three years after President Bola Ahmed Tinubu removed the petrol subsidy in May 2023, a decision that triggered a sharp increase in pump prices and became one of the most consequential economic measures of his administration.

The subsidy removal was followed by a prolonged dispute between the Federal Government and organised labour.

In October 2023, the government, the Nigeria Labour Congress and the Trade Union Congress reached a memorandum of understanding aimed at preventing a nationwide strike and cushioning the impact of higher fuel prices.

Under that agreement, the Federal Government approved a ₦35,000 monthly wage award for federal workers, pending the introduction of a new national minimum wage.

The agreement also provided for compressed natural gas buses, tax measures, support for small businesses and a recommendation that state and local governments consider similar wage awards.

The NLC now wants another wage intervention, arguing that the temporary relief agreed in 2023 has not kept pace with the cost of living.

“A wage award is not charity. It is an emergency intervention against the collapse of real income,” the union said.

The call also comes as Nigeria approaches the three-year review point for its current national minimum wage.

President Bola Ahmed Tinubu approved a ₦70,000 national minimum wage in July 2024 after negotiations involving the Federal Government and organised labour. The President said the wage would be reviewed after three years rather than the previous five-year interval.

The NLC is now calling for a tripartite committee to be established before the end of 2026 to formulate and legislate a new wage standard for 2027.

The union argues that the ₦70,000 wage has already lost substantial purchasing power because of inflation.

“The current ₦70,000 minimum wage was already destroyed by inflation before it was implemented,” the NLC said.

The statement reflects a wider tension in Nigeria’s economic debate.

The Federal Government has argued that its reforms are restoring macroeconomic stability and laying the foundations for stronger growth, while organised labour has continued to focus on the immediate impact of higher prices on workers and households.

President Bola Ahmed Tinubu reinforced the government’s position in his own Independence Day address on Thursday, declaring that Nigeria had moved beyond what he described as the emergency phase of economic reform.

“The emergency treatment is over. The foundation has been repaired,” President Bola Ahmed Tinubu said.

The President said the next phase of his administration would focus on jobs, production, lower costs and improved living standards.

The NLC, however, wants evidence of that transition to be reflected more directly in workers’ incomes.

The union has also renewed its criticism of the government’s decision to remove the petrol subsidy, questioning whether the savings from the policy have produced sufficient improvements in infrastructure and public services.

“Government claimed subsidy removal would free up resources for infrastructure and social services. Three years later, petrol prices have multiplied several times over, yet the promised infrastructure and social services remain mirages,” the NLC said.

The Federal Government’s case is that subsidy removal was necessary to address a costly fiscal burden and redirect resources towards more productive areas of the economy.

The administration has also pointed to improvements in foreign exchange market functioning, government revenue and economic growth as evidence that the reforms are beginning to produce results.

The International Monetary Fund has similarly reported improvements in Nigeria’s macroeconomic stability since 2023, while stressing that poverty, food insecurity and household hardship remain significant challenges.

For workers, the distinction between macroeconomic stability and household welfare remains important.

A slowdown in inflation means prices are increasing more slowly. It does not mean that the prices of food, transport, housing or other necessities have returned to their earlier levels.

That distinction underpins much of the NLC’s argument for another wage intervention.

The labour centre is also demanding implementation of tax relief measures agreed during the October 2023 negotiations.

It wants the government to reduce the cost of governance, improve transparency in public spending and invest more heavily in roads, hospitals, schools and other public infrastructure.

The NLC argues that stronger public services could reduce the financial burden on households while improving productivity across the wider economy.

Energy remains another major concern.

Nigeria is Africa’s largest oil producer, yet the country has historically relied heavily on imported refined petroleum products.

The NLC is calling for greater investment in domestic refining and questioning why Nigerian workers should remain exposed to international fuel-market pressures despite the country’s substantial crude-oil resources.

The expansion of private refining capacity has changed the structure of Nigeria’s downstream petroleum industry, but petrol prices remain sensitive to crude prices, foreign exchange movements, logistics and other market conditions.

The labour union has also warned that economic hardship is deepening pressure on young Nigerians to seek opportunities abroad.

“The government must create genuine opportunities so that young people can see hope instead of being preached to about hope,” the NLC said.

The union linked unemployment, poverty and insecurity, arguing that violence has disrupted farming, education and healthcare in affected communities.

For the NLC, economic policy therefore cannot be separated from social stability.

The union wants greater investment in productive employment, public services and infrastructure alongside higher wages.

Its Independence Day statement also looked ahead to the 2027 general elections.

Joe Ajaero said workers should retain the freedom to make independent political choices and warned against electoral manipulation, voter intimidation and rhetoric capable of deepening ethnic or religious divisions.

The NLC said it would use its proposed Workers’ Charter to articulate its positions on policies and candidates when appropriate, while stressing that workers’ organisations should not be treated simply as electoral instruments.

“The Nigeria Labour Congress will, at the appropriate time, use our Workers’ Charter to make it clear which policies and candidates deserve the support of the working class,” Joe Ajaero said.

The union added that workers had the right to make their own political judgements and choices.

The political context adds another layer to the wage dispute. With Nigeria approaching the 2027 election cycle, the cost of living, wages, petrol prices, employment and the wider impact of economic reforms are likely to remain closely watched by workers, businesses and policymakers.

For the Federal Government, the challenge is to demonstrate that the economic stability it says has been achieved can translate into tangible improvements in household welfare.

For organised labour, the immediate priority is more direct: protect workers from further erosion of their incomes and ensure that the next national minimum wage reflects prevailing economic conditions.

Nigeria’s 66th Independence anniversary therefore arrives with two competing economic priorities in clear view.

President Bola Ahmed Tinubu says the country has endured the difficult phase of reform and is now moving towards an era of wider prosperity.

The NLC says that transition must be felt in workers’ pay packets, transport fares and household budgets.

Also read: Tinubu declares ‘age of prosperity’ for Nigeria at 66

The coming negotiations over the 2027 minimum wage will provide a significant test of how those competing priorities are addressed, and whether Nigeria’s improving economic indicators can translate into more meaningful relief for workers and families.