Reported by: Ijeoma G | Edited by: Jevaun Rhashan
Nigeria’s largest labour organisation has issued a strong warning to the federal government over the escalating cost of fuel, demanding immediate intervention to shield workers and households from the worsening economic impact of soaring petrol prices across the country.
The Nigeria Labour Congress (NLC) said the sudden spike in petrol prices—now reportedly ranging between about ₦1,170 and ₦1,300 per litre in several parts of the country—has significantly deepened hardship for workers and ordinary citizens. The labour union argued that the rising cost of fuel is driving inflation across essential sectors such as transportation, food supply and basic services, rapidly eroding the purchasing power of wages.
In a statement issued by NLC President Joe Ajaero, the labour body called on the Federal Government to urgently introduce economic relief measures, warning that the country risks widespread social distress if the crisis is not addressed quickly. The union said workers are being pushed to the edge as transportation costs climb sharply and household expenses rise faster than wages.
The NLC outlined several measures it believes are necessary to stabilize living conditions for Nigerian workers. Among the demands are the introduction of an immediate cost-of-living allowance (COLA) and a temporary wage award to supplement workers’ incomes and help offset the rising cost of fuel and basic goods. Labour leaders argue that without such interventions, the current minimum wage will no longer be sufficient to meet even basic living expenses.
The union also called for tax relief for low-income earners, including the suspension of certain taxes affecting workers on modest incomes. According to the NLC, taxing minimum-wage earners during a severe economic downturn amounts to unfair financial pressure on already struggling households. The organisation insisted that the government must urgently restructure the tax burden to provide immediate relief for vulnerable groups.
Beyond direct economic relief, labour leaders also urged the government to implement structural reforms aimed at stabilizing the petroleum sector. A central demand is the rapid revival and full operation of Nigeria’s state-owned refineries located in Port Harcourt, Warri and Kaduna. The NLC stressed that restoring domestic refining capacity would reduce Nigeria’s dependence on imported fuel and help protect the country from sudden price shocks caused by global market volatility.
Stone Reporters note that Nigeria’s four government-owned refineries have struggled for decades with poor maintenance and operational failures, forcing the country to rely heavily on imported petroleum products despite being one of Africa’s largest crude oil producers. Labour leaders say billions of naira have been spent on refinery rehabilitation without clear results, and they have demanded accountability for those expenditures.
The labour organisation also linked the latest fuel price spike to global geopolitical tensions affecting the oil market. According to the NLC, escalating conflict in the Middle East has disrupted global energy supply chains and pushed crude oil prices higher, creating a ripple effect that has driven up fuel costs in countries dependent on imported refined products.
While the surge in oil prices could potentially increase Nigeria’s export revenue, labour leaders warned that such gains may not translate into improved living standards for citizens unless deliberate policies are introduced to redistribute the economic benefits. Analysts cited projections that Nigeria could earn up to ₦30 trillion in additional oil revenue if high global oil prices persist, but the NLC cautioned that past oil windfalls often failed to produce tangible relief for ordinary Nigerians.
The labour movement also urged the government to expand social protection programmes such as cash transfers for vulnerable households. According to the NLC, existing support schemes must be restructured to ensure transparency and ensure that financial assistance reaches the poorest Nigerians who are most affected by rising inflation.
Across Nigeria’s major cities, the effects of rising petrol prices are already being felt. Transport fares have increased sharply, while traders report higher costs for moving goods across the country. These increases have contributed to rising food prices, compounding the pressure on households already struggling with inflation and stagnant incomes.
The labour organisation warned that prolonged economic hardship could trigger broader social instability if the government fails to act decisively. In its statement, the NLC described workers as the “engine of the nation,” cautioning that if living conditions deteriorate further, the consequences could affect productivity, economic growth and national stability.
Stone Reporters note that tensions between organised labour and the federal government over fuel prices and economic reforms are not new. Labour unions in Nigeria have historically mobilised large-scale strikes and nationwide protests in response to increases in fuel prices or policies perceived to worsen the cost-of-living crisis. Past confrontations have at times disrupted major sectors of the economy, including electricity supply, banking services and transportation.
With petrol prices continuing to fluctuate amid global market volatility, the coming weeks are likely to test the federal government’s ability to balance economic reforms with social protection measures. For millions of Nigerian workers, the outcome of these policy debates could determine whether the country’s current fuel price shock evolves into a deeper economic crisis or is contained through timely intervention.
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