Organised labour in Nigeria has intensified pressure on the Federal Government to address the rising cost of living, with the Nigeria Labour Congress (NLC) demanding a reduction in petrol prices to ₦668.30 per litre, while the Trade Union Congress (TUC) is calling for the naira to be strengthened to between ₦700 and ₦800 per dollar.
The two major labour centres have proposed different approaches to easing the economic hardship facing Nigerian workers and households, as high petrol prices, inflation and the declining purchasing power of wages continue to generate concerns across the country.
While the NLC wants the government to take immediate steps to reduce petrol prices, the TUC believes that addressing the exchange rate would help lower fuel costs and the prices of other essential goods and services.
The Federal Government is therefore facing growing pressure to consider measures that could provide relief to workers without undermining its economic reform policies.
NLC Gives Federal Government Two-Week Ultimatum
The NLC renewed its demand for a reduction in petrol prices following a joint meeting of its National Executive Council and Central Working Committee held at the Olaitan Oyerinde Hall, Labour House, Abuja, on October 7, 2026.
In a communiqué signed by its President, Comrade Joe Ajaero, the union expressed concern over the economic difficulties confronting Nigerian workers, citing rising inflation, the weakening purchasing power of wages and the increasing cost of basic necessities.
The labour centre subsequently issued a two-week ultimatum beginning October 9, 2026, asking the Federal Government to address several outstanding demands.
Among its major demands is a reduction in petrol prices to the level recorded when President Bola Tinubu signed the current national minimum wage of ₦70,000 into law in July 2024.
At the time, petrol was reportedly selling for about ₦668.30 per litre. However, prices have since risen above ₦1,400 per litre in several parts of the country.
The NLC argues that the increase has significantly reduced the purchasing power of workers, making it increasingly difficult for them to meet their daily needs despite the implementation of the new minimum wage.
According to the union, returning petrol prices to their July 2024 level would provide immediate relief to workers and help restore some of the purchasing power lost to rising transportation, food and other living expenses.
The NLC also called for the commencement of negotiations for a new national minimum wage, implementation of the February 5, 2026, Terms of Settlement involving the Joint Health Sector Unions (JOHESU), and the implementation of outstanding demands presented by the Joint Public Sector Negotiating Council.
It further demanded tax relief and wage awards for workers, insisting that employees should not be expected to continue bearing the burden of economic reforms without corresponding relief measures.
The union warned that failure by the government to address its demands within the stipulated period could force it to take further action.
TUC Wants Naira Strengthened to ₦800 Per Dollar
Unlike the NLC, which is demanding an immediate reduction in petrol prices, the TUC is advocating a stronger naira as a means of reducing fuel costs and the prices of other goods and services.
The union maintains that the exchange rate is a major factor contributing to the high cost of petrol and the general increase in the cost of living.
TUC President, Comrade Festus Osifo, restated the union’s position after a meeting of its National Executive Council, arguing that the naira remains undervalued despite recent improvements in some economic indicators.
Osifo acknowledged progress in certain areas of the economy, including developments in inflation and the foreign exchange market. He also commended the Governor of the Central Bank of Nigeria, Olayemi Cardoso, for efforts to improve economic conditions.
However, he maintained that the official exchange rate of about ₦1,300 to the dollar remained too weak compared with what the union considers the naira’s appropriate value.
According to Osifo, the naira should exchange at between ₦700 and ₦800 to the dollar, a level he believes could help reduce the cost of imported products, including refined petroleum products.
The TUC argues that because petrol prices are influenced by foreign exchange costs, a stronger naira would reduce the amount required to purchase imported fuel and could bring pump prices down to approximately ₦600 per litre.
The union believes that the benefits would extend beyond petrol to include medicines, vehicle spare parts, food products and other commodities whose prices are affected by exchange rate movements.
The TUC had previously presented a 15-point demand to the Federal Government in 2024, with exchange rate reform featuring prominently in its proposals.
It has also suggested that the government consider using part of the additional revenue generated from higher-than-budgeted crude oil prices to support local refineries and encourage lower prices in the domestic market.
TUC Adopts Different Approach to Minimum Wage
On the question of a new national minimum wage, the TUC appears to favour a longer-term timetable while seeking immediate improvements in workers’ earnings through allowances and wage awards.
The union expects formal negotiations on a new minimum wage to begin around February 2027, approximately six months before the current Minimum Wage Act is due to expire.
However, it wants discussions on allowances and wage awards to begin without delay to provide workers with some relief while broader negotiations are being prepared.
The TUC has also expressed support for the warning strike threatened by the Joint National Council of federal workers and indicated its readiness to escalate its position if the outstanding issues are not resolved.
In addition, the union has intervened in the dispute involving health workers under JOHESU and called for accountability over the reported deaths of about 30 minors while in the custody of the Nigeria Security and Civil Defence Corps in Niger State.
These positions reflect the TUC’s broader concern about workers’ welfare, public-sector conditions and the need for the government to respond to issues affecting ordinary Nigerians.
Two Labour Centres, Two Economic Proposals
Although the NLC and TUC share the objective of reducing economic hardship, their proposed solutions differ in both timing and implementation.
The NLC is seeking direct and immediate intervention in petrol pricing. Its position would require the government to consider how to bring prices down, potentially through temporary support measures, price adjustments or other interventions.
Such a move could provide quick relief to motorists, transport operators and households. However, its implementation would raise questions about the financial cost to the government and the sustainability of any arrangement that keeps prices below prevailing market costs.
The TUC, on the other hand, is advocating a broader adjustment to the exchange rate, arguing that a stronger naira would reduce the cost of importing petroleum products and other commodities.
Under its proposal, lower foreign exchange costs could help bring down petrol prices without necessarily requiring a direct subsidy.
However, achieving and sustaining an exchange rate of ₦700 to ₦800 per dollar would depend on several factors, including foreign exchange supply, export earnings, investor confidence, monetary policy and the overall performance of the economy.
A stronger exchange rate would not automatically guarantee a corresponding reduction in petrol prices, as refining costs, distribution expenses, taxes and marketers’ margins would also influence the final price paid by consumers.
Similarly, an immediate reduction in petrol prices could provide short-term relief, but its long-term impact would depend on how the government manages supply, pricing and the cost of providing any financial support.
Government Faces Pressure to Respond
The growing demands from the two labour centres come amid persistent complaints about the cost of food, transportation, housing and other essential expenses.
For many workers, the ₦70,000 minimum wage introduced in 2024 has struggled to keep pace with increases in the prices of basic goods and services.
The unions believe that further action is necessary to prevent workers’ earnings from losing more purchasing power.
The NLC’s ultimatum is scheduled to expire on October 23, 2026, while the TUC has warned that it could support further industrial action if the concerns of federal workers and other affected employees remain unresolved.
A possible escalation could affect several sectors of the economy, depending on the participation of affiliated unions and the nature of any industrial action.
The involvement of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), which is affiliated with the TUC and led by Osifo, could also become significant if the dispute widens to include the oil and gas industry.
Nigeria has previously experienced major disruptions during nationwide labour actions, including the 2012 protests over petrol subsidy removal and industrial disputes in subsequent years.
Whether the NLC and TUC eventually coordinate their actions will depend on the government’s response and the extent to which their respective demands are addressed.
Search for a Middle Ground
The Federal Government must now consider how to respond to the unions’ demands while maintaining its economic policy direction.
The NLC is prioritising an immediate reduction in petrol prices to provide relief to workers, while the TUC is focusing on exchange rate adjustments that it believes could reduce fuel prices and the wider cost of living.
Both proposals seek to address the same problem, but they involve different policy choices, financial implications and implementation challenges.
For workers, the immediate concern remains the rising cost of daily necessities and the difficulty of making their salaries cover essential expenses.
The coming weeks will therefore be important in determining whether the Federal Government reaches an agreement with organised labour, introduces fresh relief measures or faces a broader confrontation with the unions.
With the NLC’s October 23 deadline approaching, attention is turning to Abuja to see whether the government will adopt the NLC’s proposed petrol price reduction, consider the TUC’s exchange rate recommendation or pursue a compromise intended to ease the pressure on Nigerian workers.
READ ALSO:
- CDS Urges More Investment in Nigeria’s Indigenous Space Technology
- World Bank, IMF Warn AI Could Worsen Jobs Crisis in Nigeria
- LCCI Proposes 20% Petrol Price Cut Within Six Months
- US Lists Nigeria Among Countries Linked to Child Soldiers, Cites Baby Factories and Official Complicity
- Former DIG Frank Mba Opens Law Firm After 34 Years in Police Service
