NLC, FG Clash Over Minimum Wage Review, Petrol Prices

The Nigeria Labour Congress (NLC) and the Federal Government have clashed over the timing of the next national minimum wage review, with organised labour demanding immediate negotiations, tax relief and a cut in petrol prices.

While the government insists that the current N70,000 minimum wage was due for review in June 2027, the NLC argues that preparations for a new wage must begin immediately, warning that inflation and rising living costs have continued to erode workers’ earnings.

NLC President, Joe Ajaero, stated the union’s position in a letter dated October 13, 2026, addressed to the Minister of Labour and Employment, Muhammad Dingyadi, in response to the ministry’s October 12 letter rejecting an immediate review.

The government had argued that the National Minimum Wage Act as amended in 2024, provides for a three-year review cycle, meaning the current wage would become due for review on June 1, 2027.

But the NLC disputed that interpretation, insisting that the original Act, signed on April 18, 2019, stipulated a review by April 18, 2024, and that the subsequent amendment did not erase the original statutory timeline.

According to the congress, a new minimum wage law should take effect by April 17, 2027, making it necessary to begin negotiations at least six months ahead.

“Under this scenario, effective negotiations should commence by 17th October, 2026,” the NLC said, urging the government to initiate the process by calling for nominations and inaugurating the tripartite committee.

“We believe that the claim that a review is ‘premature’ is a deliberate misreading of the law,” it added.

The NLC stressed that it was not demanding the immediate implementation of a new wage but the commencement of negotiations, warning that delaying the process could worsen workers’ economic hardship.

Rejecting the government’s argument that the increase from N30,000 to N70,000, alongside interventions such as the Presidential Compressed Natural Gas initiative and food security programmes, had provided significant relief, the NLC said the gains had been undermined by inflation, naira depreciation and rising petrol prices.

The NLC’s letter further stated, “The 133% increase you celebrate has been rendered worthless by the devaluation of the Naira and the astronomical rise in the cost of living propelled mainly by the macroeconomic policies of the government, especially the hike in the price of Petrol.”

The congress said workers were struggling to meet basic needs, including transportation, food, shelter, healthcare and education. It also questioned the effectiveness of the CNG initiative, citing inadequate infrastructure and shortages of promised gas supplies and conversion kits.

“Workers cannot eat a ‘CNG initiative’ that is not on ground and when their children are hungry today,” the union said, insisting that workers could no longer be expected to make sacrifices without immediate relief.

The NLC further rejected the ministry’s assurance that it was engaging relevant ministries, departments and agencies and would convene the tripartite committee at the appropriate time.

“The time is now. The appropriate time is now,” it declared, warning that continued delays were undermining workers’ ability to survive.

Beyond the minimum wage review, the congress demanded the implementation of tax relief agreed upon in 2023, payment of wage awards and a reduction in petrol prices to the levels prevailing when the current minimum wage was signed into law in July 2024.

It also called for the implementation of the terms of settlement with the Joint Health Sector Unions (JOHESU) and the demands of the Joint Public Sector Negotiating Council.

The NLC maintained that dialogue must be backed by clear timelines and immediate measures to ease economic hardship.

“The Federal Government’s response, while prompt, is clearly out of touch with the existential reality of the Nigerian worker.”

The congress urged the government to act expeditiously, warning that workers needed urgent and substantial intervention to cushion the effects of rising living costs.

The Federal Government in its response signed by the Minister of Labour and Employment, Muhammad Dingyadi, maintained that the current minimum wage remained within its statutory review period and defended the increase as a product of negotiations involving government, organised labour and the organised private sector.

The minister also cited efforts to secure compliance with the wage by state governments and private-sector employers, alongside other interventions intended to ease the cost-of-living crisis.

On the NLC’s other demands, the ministry said it was engaging relevant government agencies to address issues within the Federal Government’s jurisdiction.

It also pledged to convene the National Minimum Wage Tripartite Committee at the appropriate time and urged organised labour to sustain dialogue and cooperation in the interest of industrial peace.