NIGERIA: The Nigeria Labour Congress (NLC) has rejected the Federal Government’s response to its demands for urgent economic relief and the commencement of negotiations for a new national minimum wage, raising fears of a possible nationwide industrial confrontation as its 14-day ultimatum runs its course.
The labour centre faulted the government’s position that negotiations for a fresh minimum wage review before June 2027 would be premature, insisting that preparations for a new wage agreement must begin immediately, reports Vanguard.
In a letter dated October 13, 2026, and addressed to the Minister of Labour and Employment, Dr Muhammad Maigari Dingyadi, the NLC President, Joe Ajaero, demanded an immediate reduction in petrol prices, the implementation of tax relief measures agreed upon in 2023, wage awards to cushion rising living costs, and the implementation of outstanding agreements with the Joint Health Sector Unions (JOHESU) and the Joint Public Sector Negotiating Council (JPSNC).
Although the NLC did not expressly declare an imminent strike in the letter, sources within the Congress told Vanguard that its rejection of the government’s response and insistence on urgent action signalled a possible escalation of industrial tension if the dispute remained unresolved before the ultimatum expired.
FG insists minimum wage review is due in June 2027
In its response to the NLC’s communiqué, the Federal Government maintained that the current national minimum wage of N70,000, signed into law on July 29, 2024, would become due for review on June 1, 2027.
The minister argued that the law provides for a review of the national minimum wage every three years, making an earlier review premature.
“Commencing a fresh review exercise barely two years into the implementation of the current wage, which represented an increase of over 133 per cent from the previous minimum wage of N30,000, would be premature, inconsistent with the law, and disruptive to the orderly industrial relations system envisaged by the Act,” the minister stated.
The government also cited its interventions to cushion economic hardship, including the Presidential Compressed Natural Gas (CNG) Initiative, food security interventions and other social support programmes.
It assured the labour centre that the Ministry of Labour and Employment was engaging relevant ministries, departments and agencies to address other demands falling within the Federal Government’s jurisdiction.
The minister said the government would convene the National Minimum Wage Tripartite Committee “at the appropriate time” to commence negotiations for the next review.
The government reiterated its commitment to tripartite engagement, decent work and workers’ welfare, while urging the NLC to sustain cooperation in the interest of industrial peace.
NLC faults government’s interpretation of the law
In its response, the NLC acknowledged the Ministry’s prompt reply to its communiqué but argued that the government’s position failed to address the substance of workers’ grievances.
“The Congress notes that, for the first time in recent history, the Ministry has responded with relative speed to our resolutions. We acknowledge this departure from the usual culture of bureaucratic silence,” the letter stated.
“However, while we appreciate this prompt acknowledgement, we are constrained to observe that speed without substance may amount to an empty gesture.”
The Congress described the government’s position as “fundamentally incorrect in law, economics, and social justice,” arguing that the statutory timeline for reviewing the minimum wage should be calculated from the commencement of the National Minimum Wage Act, 2019.
“The National Minimum Wage Act, 2019, which the 2024 Amendment Act amended, was signed into law on 18 April 2019. Under the clear provisions of that Act, a review was statutorily due by 18 April 2024,” the NLC argued.
It maintained that the 2024 amendment did not extinguish the original statutory timeline for wage negotiations.
“The 2024 Amendment Act did not abrogate the 2019 Act,” the letter stated.
The labour centre further explained that organised labour had agreed to a reduction in retrospective arrears during negotiations for the 2024 minimum wage following appeals by the Federal Government to reduce the financial burden on government and employers.
“This patriotic gesture cannot be construed as a forfeiture of the statutory timeline for implementing the National Minimum Wage,” it said.
The NLC argued that negotiations should begin at least six months before the proposed implementation of a new wage to avoid the accumulation of arrears.
“Under this scenario, effective negotiations should commence by 17 October 2026,” it stated.
The Congress stressed that it was not demanding the immediate implementation of a new minimum wage but the commencement of the administrative and negotiation processes, including calling for nominations, inaugurating the tripartite committee and setting the negotiation agenda.
N70,000 minimum wage has lost purchasing power — NLC
Beyond the legal disagreement, the NLC argued that inflation, the depreciation of the naira and rising living costs had eroded the purchasing power of workers despite the increase in the minimum wage from N30,000 to N70,000.
“The Federal Government must understand that a wage increase immediately eroded by inflation is not a meaningful improvement in workers’ purchasing power; it is merely a statistical illusion. While the nominal wage increased by 133 per cent, real wages have actually declined,” the Congress said.
It blamed the rising cost of living partly on the government’s macroeconomic policies, particularly higher petrol prices, which it said had increased transportation costs and the prices of essential goods and services.
According to the NLC, workers are increasingly struggling to afford basic necessities, including food, shelter, healthcare, education and transportation.
The Congress also questioned the effectiveness of the CNG initiative, alleging that inadequate infrastructure, gas supply shortages and a lack of conversion kits had undermined its intended benefits.
“Workers cannot feed their families with an initiative that has yet to deliver the promised relief, especially when their children are hungry today,” the letter stated.
It called on the government to provide immediate tax relief and wage awards instead of continuing to demand sacrifices from workers.
NLC demands petrol price reduction, implementation of agreements
The Congress demanded that petrol prices be reduced to the level prevailing when the current national minimum wage was signed into law in July 2024.
It also called for the implementation of tax relief measures agreed upon in 2023, immediate wage awards to cushion the impact of rising living costs, and the fulfilment of outstanding agreements with JOHESU.
The NLC further demanded the resolution of outstanding issues raised by the JPSNC, warning that continued delays could worsen workers’ hardship.
“Procrastination is no longer a policy choice; it constitutes a direct threat to the survival and well-being of Nigerian workers,” the letter stated.
The Congress cautioned that dialogue without definite timelines and immediate relief measures would amount to empty rhetoric.
“We acknowledge your assurance that your office remains open to dialogue. However, dialogue without concrete timelines and immediate relief measures amounts to mere rhetoric,” it said.
The NLC maintained that urgent government intervention was necessary to prevent further deterioration in workers’ living conditions, declaring that it remained “resolute, organised, and uncompromising” in its struggle for a fair and equitable Nigeria.
With both sides maintaining divergent positions on the timing of minimum wage negotiations and the measures required to ease economic hardship, attention is now focused on whether further engagement will produce a resolution before the labour centre’s 14-day ultimatum expires.
