The Nigeria Labour Congress and the Trade Union Congress have announced plans to reopen negotiations with the Federal Government of Nigeria over a new national minimum wage, warning that rising inflation has severely weakened workers’ purchasing power.
According to The Punch, the labour unions are calling for what they describe as a “genuine living wage”, arguing that the current framework no longer reflects Nigeria’s economic conditions amid steep increases in food, transport, housing, and healthcare costs.
Their position was presented in a joint statement at the 114th International Labour Conference in Geneva on Monday. In the address, both unions also opposed any move to tax the minimum wage or introduce additional financial burdens on low-income earners.
Nigeria’s current minimum wage of N70,000 was signed into law on 18 July 2024 following an agreement between organised labour and the Federal Government of Nigeria.
President Bola Tinubu formally announced the wage on 19 July 2024, with implementation beginning on 29 July 2024.
Originally, the agreement provided for a three-year review cycle, replacing the earlier five-year structure.
However, in January 2025, the Federal Government adjusted the arrangement, moving to a two-year review cycle, which effectively places the next review in 2026.
Based on this timeline, labour leaders said formal talks would begin ahead of the July 2026 renegotiation window to avoid delays that have historically slowed wage reviews.
“The current Act expires early next year, and we have announced that renegotiation will commence by July 2026 to avoid the painful delays of the past. As soon as we leave here, we shall write again to the government demanding the commencement of the process for renegotiating the national minimum wage,” the unions said.
They argued that workers are already struggling under inflationary pressure, currency depreciation, and rising costs of essential services, insisting that official economic data does not capture the reality faced by most households.
The unions further warned that taxing the minimum wage would deepen poverty and worsen hardship for vulnerable citizens already under financial strain.
“We demand nothing less than a genuine living wage that reflects today’s harsh economic realities. We also demand immediate relief measures by governments at all levels until a new minimum wage is signed into law. We reject outright any attempt to tax the minimum wage or impose further burdens on the poor,” the unions said.
They stressed that the upcoming negotiations must prioritise protecting real income rather than nominal wage increases, noting that inflation has consistently eroded earnings.
The labour bodies also called on federal and state authorities to introduce temporary relief measures until a new agreement is reached, warning that prolonged delays could heighten industrial tensions nationwide.
Beyond wage issues, the unions used the Geneva platform to highlight broader socio-economic challenges, including insecurity, unemployment, and rising poverty levels across the country.
They expressed concern that insecurity in several regions has made commuting increasingly dangerous, with killings, kidnappings, and displacement affecting both productivity and livelihoods.
According to them, nearly 2,000 people were killed in the first quarter of the year, while millions have been displaced due to ongoing violence disrupting communities and economic activities.
The unions warned that worsening insecurity could push workers to stay home for safety, potentially escalating labour tensions beyond traditional industrial action if not urgently addressed.
They also claimed that about 65 per cent of Nigerians—roughly 150 million people—are living in multidimensional poverty, driven by inflation, job losses, and declining purchasing power.
While acknowledging ongoing economic reforms, the labour leaders argued that these policies have yet to translate into improved living standards for ordinary Nigerians.
With the 2027 general elections approaching, the unions said they are preparing a charter of demands to guide engagement with political actors, stressing that only candidates committed to security, public services, wage reforms, and labour rights would earn their support.
They also raised concerns over alleged interference in union affairs in some states, accusing certain governments of attempting to undermine elected labour leadership structures.
The unions reaffirmed that they would resist any attempt to weaken union independence or impose external control on organised labour.
As the 2026 wage review window approaches, the NLC and TUC maintained that their priority remains securing a wage structure that reflects present economic realities and protects workers from further income erosion.
They concluded that the outcome of the forthcoming negotiations would determine whether Nigerian workers attain what they call a “living wage” or continue to face worsening economic hardship.
