Barring any last-minute changes, Nigeria faces a total shutdown today, June 3, as labour unions commence a nationwide strike amid significant uncertainties. Offices, banks, airports, and other key facilities are expected to be impacted.
On Sunday, a meeting between federal government representatives, National Assembly leaders, and officials from the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) ended in deadlock. The meeting, held behind closed doors at the National Assembly complex in Abuja, ran from 5:50 p.m. to 8:45 p.m.
Earlier, on Friday, the NLC and TUC declared an indefinite nationwide strike. They expect participation from various worker unions, including doctors, university lecturers, airport workers, and electricity workers, potentially leading to widespread disruptions in power, fuel supply, and transportation.
In a notice issued on Saturday, NLC General Secretary Emmanuel Ugboaja called on all affiliated bodies to mobilize their members for full compliance with the strike directive. He emphasized the need for comprehensive workplace closures, highlighting that the strike’s success depends on collective determination.
The strike aims to pressure the government to agree on a new minimum wage and address the increase in electricity prices for some consumers. Since the policies announced last year by President Bola Tinubu, including the removal of the petrol subsidy, the cost of goods and services has surged, exacerbating economic hardships.
Following Tinubu’s inauguration on May 29, 2023, the Nigerian National Petroleum Company Limited (NNPCL) introduced a new petrol price range of N537 to N600 per litre. The NLC had previously threatened a nationwide strike over the subsidy removal but postponed it after government negotiations and a court order.
Negotiations between labour leaders and the government resulted in a Memorandum of Understanding (MoU) on September 5, 2023, temporarily halting strike plans. The MoU included terms such as a N35,000 wage award to federal employees and a six-month suspension of Value Added Tax (VAT) on diesel starting October 2023.
Despite these agreements, the government has failed to implement the promised measures, prompting the unions to issue a two-week ultimatum in February 2024 to address the economic policy impacts. The unions extended the ultimatum by 14 days as economic pressures continued to mount.
In response to the fuel subsidy removal and unification of the foreign exchange market, domestic prices have surged. The Nigerian Electricity Regulatory Commission (NERC) also approved an electricity tariff increase in April, further straining consumers’ purchasing power.
Labour unions initially proposed a new minimum wage of N615,000, later revising it to N494,000. However, they rejected the federal government’s offer of N60,000. Festus Osifo, TUC President, cited the breakdown in negotiations and the government’s reluctance to address electricity tariff hikes and wage concerns as reasons for the strike.
Despite a last-minute meeting with labour union leaders and ministers on Sunday, the negotiations ended without resolution, setting the stage for today’s strike.
