Nigeria Labour Unions Begin Nationwide Strike Over Minimum Wage

The Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have embarked on an indefinite nationwide strike following a deadlock in negotiations with the federal government over a proposed national minimum wage.

The strike, which commenced on June 3, 2024, may lead to widespread disruptions in essential services, including power outages, fuel shortages, and transportation disruptions. The labour unions are demanding a new minimum wage of N494,000, while the federal government has offered N60,000.

The NLC and TUC had initially proposed a minimum wage of N615,000, which was later revised to N497,000 and then further reduced to N494,000. However, the federal government's offer of N60,000 has been rejected by the labour unions.

The strike is a result of the federal government's failure to implement the agreements reached in a Memorandum of Understanding (MoU) signed in September 2023. The MoU included a wage award of N35,000 to all federal government employees starting from September 2023, and the inauguration of a minimum wage committee within one month from the date of the agreement.

The labour unions have accused the federal government of showing reluctance to address their concerns, particularly regarding the recent increase in electricity tariffs and the call for a living wage. The Nigerian Electricity Regulatory Commission (NERC) had approved an increase in electricity tariffs for customers in the Band A category, raising the rate from N66 to N225 per kilowatt-hour (kWh).

The labour unions have been in negotiation with the federal government over a new minimum wage since last year, following the government's announcement of the removal of the petrol subsidy, which led to an increase in the cost of goods and services.

The strike has been described as a last resort by the labour unions, who have expressed their frustration over the federal government's failure to honour its agreements. The strike is expected to affect all sectors of the economy, including healthcare, education, and transportation.

The federal government has warned that the strike may have severe consequences for the economy, but the labour unions have maintained that their demands are legitimate and must be met. The strike continues indefinitely until the federal government meets the demands of the labour unions.