By Our Reporter
The Nigeria Labour Congress (NLC) has rejected the Federal Government’s response to its 14-day ultimatum, insisting on an immediate reduction in petrol prices, tax relief and the commencement of negotiations for a new national minimum wage.
The development has raised concerns over a possible escalation of industrial tension if the government fails to address the union’s demands before the ultimatum expires.
In a letter dated October 13, 2026, and addressed to the Minister of Labour and Employment, Dr Muhammad Maigari Dingyadi, the NLC faulted the government’s position that negotiations for a fresh minimum wage review before June 2027 would be premature.
The letter, signed by NLC President Joe Ajaero, also demanded immediate wage awards to cushion the impact of rising living costs, implementation of tax relief measures agreed upon in 2023, and the fulfilment of agreements with the Joint Health Sector Unions (JOHESU) and the Joint Public Sector Negotiating Council (JPSNC).
Although the Congress did not explicitly declare a strike, sources within the labour movement indicated that its rejection of the government’s response and insistence on urgent action could lead to an industrial confrontation if the dispute remained unresolved.
**FG insists minimum wage review is due in 2027**
In its response to the NLC’s demands, 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 of Labour and Employment argued that the law provides for a review of the 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 measures introduced to ease economic hardship, including the Presidential Compressed Natural Gas (CNG) Initiative, food security interventions and other social support programmes.
It said the ministry was engaging relevant ministries, departments and agencies to address other demands within the government’s jurisdiction.
The minister further assured the NLC that the National Minimum Wage Tripartite Committee would be convened at the appropriate time to begin negotiations for the next review.
The government reiterated its commitment to dialogue, decent work and workers’ welfare, while urging the labour movement to cooperate in the interest of industrial peace.
**NLC disputes government’s interpretation of the law**
Rejecting the government’s position, the NLC acknowledged the ministry’s relatively prompt response but argued that it 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.
It, however, added that “speed without substance may amount to an empty gesture.”
The Congress described the government’s interpretation of the law as “fundamentally incorrect in law, economics, and social justice.”
The disagreement centres on the interpretation of the National Minimum Wage Act, 2019, as amended in 2024, and when preparations for a new wage agreement should begin.
According to the NLC, the original 2019 Act was signed into law on April 18, 2019, making April 18, 2024, the date when a review was statutorily due.
“The 2024 Amendment Act did not abrogate the 2019 Act,” the union stated, maintaining that the amendment did not cancel the original statutory timeline.
The Congress also argued that organised labour had agreed to a reduction in retrospective arrears during the 2024 wage negotiations following appeals by the Federal Government to ease the financial burden on government and employers.
It said the concession should not be interpreted as a surrender of workers’ statutory rights.
The NLC maintained that negotiations for a new wage should begin at least six months before its proposed implementation to avoid the accumulation of arrears.
“Under this scenario, effective negotiations should commence by 17 October 2026,” the letter stated.
The union clarified that it was not demanding the immediate implementation of a new minimum wage but wanted the preparatory process to begin, including the nomination of representatives, inauguration of the tripartite committee and establishment of a negotiation agenda.
**NLC says inflation has eroded workers’ purchasing power**
Beyond the legal disagreement, the labour movement said the economic circumstances confronting workers had significantly eroded the value of the current N70,000 minimum wage.
It argued that although the minimum wage increased from N30,000 to N70,000, the rise had not translated into a corresponding improvement in purchasing power because of inflation, naira depreciation and increasing living costs.
“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.
The NLC blamed rising transportation costs and prices of essential goods and services partly on government economic policies, particularly increases in petrol prices.
It said many workers were struggling to afford basic necessities, including food, housing, healthcare, education and transportation.
The Congress also questioned the effectiveness of the CNG initiative, alleging that inadequate infrastructure and shortages of gas supplies and conversion kits had limited its 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.
**Labour lists outstanding demands**
The NLC called on the Federal Government to implement the tax relief measures agreed upon in 2023 and introduce immediate wage awards to help workers cope with rising living costs.
It also demanded that petrol prices be reduced to the level prevailing when the current national minimum wage was signed into law in 2024.
Other demands include the implementation of outstanding agreements with JOHESU and the resolution of issues raised by the JPSNC.
The Congress warned that continued delays in addressing the demands would worsen the hardship facing Nigerian workers, arguing that the government could provide relief if it demonstrated the necessary political will.
“Procrastination is no longer a policy choice; it constitutes a direct threat to the survival and well-being of Nigerian workers,” the letter stated.
It further cautioned that dialogue without concrete timelines and immediate relief measures would amount to mere 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,” the NLC said.
The labour centre maintained that urgent government intervention was necessary to prevent further deterioration in workers’ living conditions, declaring itself “resolute, organised, and uncompromising” in its pursuit of a fairer and more equitable Nigeria.
With the NLC and the Federal Government maintaining opposing positions on the timing of minimum wage negotiations and the measures needed to ease economic hardship, attention is now focused on whether further talks will produce a resolution before the union’s 14-day ultimatum expires.