NLC, TUC Declare ₦70,000 Inadequate, Demand ‘Genuine Living Wage’ as Economic Hardship Bites Harder, Reject Any Tax on Low-Income Earners
By Our Correspondent
ABUJA – The organised labour movement in Nigeria has drawn a line in the sand. Declaring that the current national minimum wage of ₦70,000 has been rendered a cruel joke by the soaring cost of living, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have formally signalled their intention to reopen negotiations with the Federal Government for a new wage regime that reflects the nation’s stark economic realities .
In a joint address delivered with gravitas at the 114th International Labour Conference in Geneva, labour leaders insisted that Nigerian workers can no longer cope with the relentless erosion of their purchasing power . What they are demanding, they said, is nothing less than a “genuine living wage” – a concept that moves far beyond the current framework which has been rendered obsolete by punishing inflation, escalating food prices, astronomical transportation costs, and skyrocketing housing and healthcare expenses .
The current ₦70,000 minimum wage, signed into law with much fanfare by President Bola Tinubu on July 18, 2024, was originally structured on a three-year review cycle . However, in a move that has now come back to the forefront of national discourse, the Federal Government adjusted the framework in January 2025, compressing the review cycle to a biennial basis, thereby setting the stage for the next round of negotiations in 2026 .
With the deadline of July 2026 fast approaching, the NLC and TUC have vowed to avoid the “painful delays” that have historically plagued Nigeria’s minimum wage reviews . They have announced plans to immediately dispatch a formal communiqué to the Federal Government, demanding the commencement of the renegotiation process with urgency . “The current Act expires early next year, and we have announced that renegotiation will commence by July 2026 to avoid the painful delays of the past. As soon as we leave here, we shall write again to the government demanding the commencement of the process for renegotiating the national minimum wage,” the unions stated in their communiqué .
The labour leaders’ declaration is not an abstract political demand; it is a desperate plea echoing the daily struggle of millions of Nigerians. The grim reality on the ground paints a picture of a nation under immense strain. Official data from the National Bureau of Statistics (NBS) reveals that Nigeria’s headline inflation rate accelerated to 15.93 per cent in May 2026, marking the third consecutive monthly rise and driven by supply-side pressures and global commodity disruptions . Food inflation, which forms the bulk of the average Nigerian’s expenditure, surged to a painful 16.96 per cent .
Yet, official statistics often fail to capture the human dimension of this crisis. A recent investigation into the living conditions of Nigerians reveals a country where survival has become a daily battle . From the bustling streets of Kano to the crowded suburbs of Lagos, families are being forced to make agonizing choices between feeding, schooling, and other essential needs .
In Lagos, the story of Mary Chukwu, a secondary school teacher, has become a symbol of the national predicament. Forced to relocate from Ketu to Ikorodu due to a staggering 200 per cent increase in her rent, she now spends nearly her entire monthly salary just on commuting to work and feeding herself . “There is hardly anything left of my salary after subtracting transport and feeding for the month,” Chukwu lamented. “I am just surviving, and sometimes I go to bed hungry, hoping for divine intervention” .
She is not alone. David Adegoke, an accountant, told our correspondent that his family has been forced to drastically alter their eating habits, moving from Irawo to Ibafo in Ogun State after his rent was hiked by 118 per cent from ₦550,000 to ₦1.2 million . “Eating snacks in between meals is no longer allowed, and taking tea or beverages is an occasional thing in our home now,” he said, encapsulating the quiet desperation of the Nigerian middle class .
The situation is even more dire in Northern Nigeria. Sunusi Uba Muhammad, a local government worker in Kano, declared that his salary is “no longer enough to meet our daily needs,” pointing to the steep rise in petrol prices and the removal of subsidies as key drivers of his hardship . In the markets, traders like Salim Labaran, a phone dealer in Kano, report that 2026 has been the hardest year in his trading experience, with business activities declining significantly . Students are also feeling the pinch, with the NELFUND student loan programme failing to provide consistent relief for many .
Adding insult to injury is the perplexing behaviour of the downstream petroleum sector. Despite global crude oil prices retreating to pre-war levels of about $74 per barrel following the easing of geopolitical tensions in the Middle East, Nigerians are yet to taste any relief at the pumps . Petrol prices remain stubbornly high, retailing at between ₦1,200 and ₦1,250 per litre in some locations, defying the logic of market economics .
Industry experts have attempted to explain this anomaly, pointing to the lag effect in the supply chain. Former Chairman of the Society of Petroleum Engineers (SPE), Nigeria Council, Mr. Joe Nwakuwe, explained that the products currently being sold were refined or imported using crude purchased weeks or months ago at significantly higher prices . “The products being sold today were produced from crude purchased weeks or even months ago at much higher prices. The pricing is based on the cost of that inventory, not today’s crude oil price,” he said .
While economists point to the inevitability of a lag, for ordinary Nigerians like Mary Chukwu and David Adegoke, this explanation offers little comfort. For them, the headline inflation figures and the price at the pump translate directly to hunger and a struggle for survival. The persistent high cost of energy and transportation has pushed Nigeria to the very bottom of global quality-of-life rankings . Prof. Godwin Oyedokun, a financial expert at Lead City University, warned that the continued increase in inflation is worsening the economic hardship faced by households and businesses, forcing them to cut back on consumption, savings, and investment in critical areas such as education and healthcare .
As the NLC and TUC prepare to meet the Federal Government at the negotiating table, the stakes could not be higher. Organized labour is demanding immediate relief measures from all tiers of government while a new package is being negotiated . They have firmly rejected any proposal to tax the minimum wage, warning that such a move would be a “tax on the poor” and would deepen poverty and hardship at a time when many citizens are struggling to meet basic needs .
“This is about more than just an increase in salary,” a labour source close to the negotiations told our correspondent. “It is about the dignity of the Nigerian worker. We are demanding a wage that allows a worker to feed their family, pay their rent, and send their children to school without begging. This is the bottom line.”
The Federal Government, meanwhile, must walk a tightrope. The Centre for the Promotion of Private Enterprise (CPPE) has attributed the persistent inflationary pressures to cost-push factors, arguing that government intervention should focus on improving food security, strengthening logistics infrastructure, investing in mass transit and rail transportation, and enhancing energy supply . The government is under pressure to stabilize the economy and ensure that a new wage does not trigger a fresh round of inflation that would further cripple businesses and annihilate the value of any new wage they might agree upon.
The countdown to the July 2026 deadline has begun. If the past is any guide, the negotiations will be fierce. What is certain, however, is that the outcome of this battle will determine the fate of millions of Nigerians and the social stability of the nation. As President Bola Tinubu’s administration seeks to steer the ship of state through these turbulent waters, the nation waits with bated breath. The words of the NLC and TUC hang heavy in the air: “We demand nothing less than a genuine living wage that reflects today’s harsh economic realities” .
PIONEER NEWS 