The Nigeria Labour Congress (NLC) has expressed deep dissatisfaction and a sense of betrayal by the federal government following the recent increase in petrol prices at NNPC Ltd. fuel stations. According to a statement by NLC President Joe Ajaero, the hike from approximately N600 to N897 per litre of petrol has undermined the trust placed in the government when the national minimum wage was set.
Ajaero pointed out that the decision to accept N70,000 as the minimum wage was based on the understanding that the petrol price would remain stable. The NLC had been aware that N70,000 was not sufficient but opted for this amount under the assurance of no fuel price increase. The sudden price rise has come just a month after the new minimum wage was agreed upon but not yet implemented, leading to a sense of betrayal and confusion among workers.
The increase in fuel prices follows NNPC Ltd.’s recent admission that it could no longer sustain the existing petrol price due to the financial burden of subsidies. As Nigeria’s sole importer of petrol, NNPC Ltd. has been shouldering substantial costs to subsidize fuel.
During the negotiations for the minimum wage, President Bola Tinubu had offered the NLC two options: a minimum wage of N250,000 with an anticipated rise in petrol prices to between N1,500 and N2,000 per litre, or N70,000 at the current price level. The NLC chose the latter, only to be faced with the recent surge in fuel prices.
Ajaero described the situation as “traumatic and nightmarish,” criticizing the government’s handling of the fuel subsidy issue. He highlighted that the labour movement had anticipated these challenges, but was dismissed by officials who accused them of misunderstanding basic economics. The NLC president also linked the fuel price increase to a pattern of broken promises, including previous issues with electricity tariff hikes.
The NLC condemned the government’s economic policies, which have led to widespread hardship and spurred protests such as the End-Hunger/End Bad Governance demonstrations. Ajaero accused the government of repressing dissent through arrests and charges of treason against protestors.
In response to the fuel price increase, the NLC has demanded an immediate reversal of the price hike, the release of all individuals detained during recent protests, and an end to the indiscriminate detention of citizens. They also called for the government to halt policies that contribute to hunger, insecurity, and further electricity tariff hikes, while denouncing what they see as a “culture of terror, fear, and lying” in governance.
Written By: Blossom Kugbere.