By Cross Udo, Abuja
The Nigeria Labour Congress (NLC) has accused the Federal Government of benefiting from the recent surge in fuel prices while workers and other Nigerians bear the burden of rising transportation costs, food prices and declining purchasing power.
The NLC called for urgent intervention to cushion the impact, arguing that additional revenues accruing from higher international oil prices should be deployed to protect workers and vulnerable Nigerians.
The position came as Minister of Aviation and Aerospace Development, Festus Keyamo, acknowledged that the current ₦70,000 national minimum wage was no longer sufficient to absorb the economic shocks confronting workers.
The two officials spoke on Thursday at the 2026 National Pre-Retirement Summit organised by XEM Consultants Limited in Abuja, with the theme, “Own Your Retirement: From Planning to Action.”
The two-day summit, held on September 24 and 25 at the Shehu Musa Yar’Adua Centre, brought together policymakers, labour unions, pension administrators, financial service providers, health and wellness experts, entrepreneurs and professionals preparing for retirement.
NLC President, Joe Ajaero, said the rise in global oil prices had created additional revenues for oil-producing countries, including Nigeria, and questioned why such gains could not be used to provide temporary relief to citizens.
He said the increase in crude prices, following disruptions around the Strait of Hormuz, presented an opportunity for Nigeria to deploy part of its additional earnings to cushion the economic impact on citizens.
“As one of the oil-producing countries, they are making trillions because of the problem in the Strait of Hormuz. You can see that oil was pegged at maybe $70 or whatever dollars. It’s $100, so they are making an extra $30 or $40,” he said.
Ajaero questioned whether the additional revenue could be used for intervention measures similar to those adopted by other countries facing the impact of higher energy prices.
“Now, can’t you use this money to embark on some interventionary measures like other countries where this is affected, so that we’ll now be alive till the time when they will say minimum wage?” he asked.
He said higher fuel prices were also driving up the cost of food and other necessities, further eroding workers’ purchasing power.
Ajaero argued that wage negotiations should therefore go beyond nominal figures, insisting that the real value of wages must be assessed against inflation, fuel prices, food costs and other living expenses.
“Negotiations are not just figures,” he said.
He illustrated the challenge by noting that even a substantial wage increase could become inadequate if the cost of basic commodities rose faster.
“Assuming one naira is equal to $1, I would advise Nigerian workers to remain at ₦70,000 because that would be big money for them, but you can see that you can equally get one million naira and a bag of rice is ₦500,000, so what of that? What happens?” he asked.
Ajaero also advocated linking wages and pensions to inflation or a recognised cost-of-living index, arguing that workers’ incomes should respond automatically to deteriorating economic conditions.
“Unless you index it either based on the cost-of-living index or inflation, immediately inflation goes like this, automatically it will adjust to this, as it is affecting pension, so it affects salaries,” he said.
He further called for minimum pension to be considered alongside minimum wage, saying retirees were equally exposed to rising prices.
Ajaero said the reduction of the minimum wage review cycle from five years to three years should allow workers to respond more quickly to changing economic conditions.
He warned against waiting until the expiration of the current wage before beginning negotiations.
“This minimum wage is supposed to expire March–April, so the conversation ought to start early. That’s a three-year cycle,” he said.
However, Ajaero said the immediate concern was how workers would survive the present hardship before the next wage review.
The NLC president also questioned whether government could effectively control inflation, exchange-rate pressures and the prices of essential commodities, recalling that Nigeria previously operated price-control mechanisms.
He further questioned the effectiveness of measures designed to reduce transportation and energy costs, particularly the Compressed Natural Gas (CNG) initiative.
Ajaero asked whether adequate infrastructure existed to make CNG a viable alternative for workers and motorists.
“Where and where can you refill your tank? How many vehicles have been converted to CNG? How many electric vehicles are on the road?” he asked.
He maintained that if inflation, transportation costs, food prices and currency pressures could be controlled, workers would have greater capacity to cope with prevailing economic conditions.
*₦70,000 wage can’t absorb economic shocks, Keyamo admits
Keyamo, a former Minister of State for Labour and Employment, acknowledged that the current ₦70,000 minimum wage was inadequate in the face of rising living costs.
He said increases in transportation, food and other essential expenses had eroded workers’ purchasing power, making the issue of wages increasingly important.
The minister urged the Federal Government to meet organised labour halfway in the wage discussions, noting that unions were demanding as much as ₦500,000.
Keyamo recalled the negotiations that preceded the increase in the national minimum wage from ₦30,000 to ₦70,000 in 2024, but said changing economic conditions had substantially affected the value of the current wage.
He also criticised the treatment of workers by some government agencies, particularly situations where workers were denied relatively small allowances while senior officials allegedly spent millions of naira on foreign trips.
“I will have none of it. Without these workers, we will not have a country,” Keyamo said.
He stressed that government could not achieve its objectives without a motivated and adequately supported workforce.
“It’s not the machines or everything that you [have]; it’s the human factor. Without that, no machine will move,” he said.
Meanwhile, Chief Executive Officer of XEM Consultants Limited and convener of the summit, Dr Eugenia Ndukwe, said the event was designed to prepare workers for retirement through financial planning, health management, entrepreneurship and investment.
Ndukwe said the summit sought to help professionals develop practical strategies for life after active service rather than viewing retirement simply as the end of formal employment.
The programme covers pension policy and workforce transition, financial literacy, health and preventive wellness, entrepreneurship, investment, estate and wealth management, agricultural enterprise systems and digital skills.
She said digital innovation was creating new opportunities for professionals to remain productive beyond formal employment.
According to her, XEM Consultants partnered with Galaxy Backbone to provide participants with digital skills and tools to explore opportunities in the digital economy.
