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Home News

Minimum Wage Erased by Inflation – NLC President Ajaero

April 25, 2025
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The President of the Nigeria Labour Congress (NLC), Mr. Joe Ajaero, has decried the crippling impact of inflation on workers’ livelihoods, stating that the newly approved minimum wage is already being outpaced by rising living costs.

Speaking on Friday at the first quadrennial delegates conference of the Trade Union Congress (TUC) in Abuja, Ajaero emphasized the urgent need for unity among labour unions to tackle the escalating economic hardships faced by Nigerian workers.

He lamented that presently, Nigerians were paying electricity tariffs and taxes above the new minimum wage of ₦70,000 approved by President Bola Tinubu’s administration.

According to him, we have fought battles on minimum wage, and we have not relented. We have fought battles on fuel subsidy and are still fighting battles on tax regimes.

“It is a period where the tax on your salaries is almost higher than the minimum wage increase on the salaries. It is a period we need to sit and reflect on our survival.

“What are those things that affect us most? The social safety nets that are obtainable in some developed economies of the world, and we need to fight for them.

“Very important, the cost of living index. We need to look at it. How does it affect an average worker? How was the minimum wage that the NLC, TUC, and others fought for implemented?

“Was it implemented in the local government for teachers, workers and those in the formal and informal sectors of the economy alike?”

The Labour leader noted that what was considered a minimum wage had been eroded by inflation.

“The landlords and transporters have taken it all. The electricity tariff is more than our minimum wage; the tariff on telecom is going high by the day.

“There is therefore the need for the organised labour unions to stand united and review their relationships with Nigerians and players in the civil society space to collectively fight the numerous issues affecting workers.

“It is a period we need to reenact our relationship with not just the trade union movement but our civil society allies and the Nigerian masses.

“The NLC is extending its hand of fellowship to the TUC for us to work together hand in hand for the interest of the Nigerian people and workers.

“History beckons that if we fail to work together, we will all perish. At this point, we have to work on those things that affect us most,” he said.

Ajaero added that the challenges that the workers face were not drills but real, adding that they required a robust, strong trade union to surmount them.  (NAN)

What you should know

Joe Ajaero, the President of the Nigeria Labour Congress (NLC), is raising serious concerns about how inflation is wiping out the benefits of the newly approved ₦70,000 minimum wage. 

At a time when electricity tariffs, transportation costs, and other essential expenses have skyrocketed, workers are struggling to make ends meet despite the wage increase. 

Ajaero emphasized that many Nigerians are now paying more for basic services and taxes than they actually earn, making the wage adjustment almost meaningless. 

He also questioned whether the new wage structure has been fully implemented, especially at the local government level and across both formal and informal sectors. 

According to Ajaero, what should have been a step forward for workers has been eroded by inflation, taxation, and a lack of support systems. 

He urged for stronger unity between labour unions like the NLC and TUC, and for closer collaboration with civil society groups to confront the challenges head-on. 

Ajaero’s comments reflect growing discontent among Nigerian workers who feel abandoned amid rising costs and stagnant economic conditions. 

His call for solidarity and strategic action aims to ensure that workers’ voices are not only heard but translated into real, sustainable improvements in their quality of life.

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