The Nigeria Labour Congress (NLC) has called on the Federal Government to take urgent steps to protect Nigerian workers and citizens from the growing economic hardship caused by the recent surge in petrol prices.
In a statement issued on Sunday, the labour union demanded a cost-of-living allowance for workers, a wage award, tax relief for low-income earners, and immediate action to revive Nigeria’s public refineries.
The union said petrol prices have risen sharply in recent days, with fuel now selling between N1,170 and N1,300 per litre in many parts of the country. According to the NLC, the increase has worsened the already difficult economic conditions faced by millions of Nigerians.
The statement, titled “Save Nigerians From This Shock: An Urgent Relief Has Become Necessary,” was signed by the NLC President, Joe Ajaero.
The union warned that if the government fails to act quickly, the country could face serious social and economic tension.
The NLC linked the sharp rise in fuel prices to the ongoing military tensions involving the United States, Israel, and Iran in the Middle East.
According to the labour body, the conflict has caused instability in the global oil market, pushing crude oil prices higher and affecting fuel prices in countries like Nigeria.
The union said Nigerian workers are now paying the price for an international crisis they did not create.
“The military escalation involving the United States, Israel and Iran has sent shockwaves through global oil markets,” the statement said. “As a result, petrol prices in Nigeria have skyrocketed to between N1,170 and N1,300 per litre.”
The NLC said the situation shows how vulnerable Nigeria’s petroleum sector has become, especially because the country still depends heavily on imported refined petroleum products.
Nigeria is Africa’s largest oil producer, yet it has struggled for decades to refine enough fuel locally. Most petrol used in the country has traditionally been imported, making the economy highly sensitive to changes in global oil prices.
To reduce the pressure on workers, the NLC demanded an immediate wage award and a cost-of-living allowance for employees across the country.
A wage award is usually a temporary payment given to workers to cushion the effect of economic hardship until salaries are reviewed.
According to the labour union, rising fuel prices have pushed up transportation costs, food prices, and other basic expenses.
The NLC said many workers are already struggling to survive on their current wages, especially after recent economic reforms that removed fuel subsidies and allowed market forces to determine petrol prices.
“Food inflation continues to rise, while wages remain low,” the statement said. “When workers cannot afford transportation to their workplaces, the economy stalls.”
The union warned that families are finding it increasingly difficult to feed themselves, and this could create serious social problems if the government does not respond.
Apart from wage support, the NLC also demanded tax relief for workers, especially those on low incomes.
The union called for the suspension of what it described as “regressive taxes” on poor Nigerians, arguing that taxing minimum-wage earners adds to their financial burden.
According to the NLC, the government should focus on supporting workers rather than increasing their tax obligations.
The union also urged the Federal Government to expand and improve the country’s cash transfer programme. This programme provides financial support to vulnerable households across Nigeria.
However, the NLC said the programme must be transparent and better managed to ensure that assistance reaches the people who truly need it.
The Labour body also said the amount given to beneficiaries should be adjusted to reflect rising inflation.
Another major demand from the labour union is the urgent rehabilitation and full operation of Nigeria’s state-owned refineries.
These include the refineries in Port Harcourt, Warri, and Kaduna.
For many years, these facilities have operated far below capacity or remained shut down due to maintenance issues, poor management, and funding problems.
The NLC said billions of naira have been spent on turnaround maintenance of the refineries, yet Nigerians have not seen meaningful results.
The union argued that restoring the refineries to full operation would reduce Nigeria’s dependence on imported fuel and help stabilize prices.
“No nation achieves economic independence by exporting jobs and importing prices,” the statement said.
The NLC added that reviving the refineries is not a favour to Nigerians but a responsibility of the government.
The labour union also raised concerns about Nigeria’s current market-driven fuel pricing system.
Since the removal of petrol subsidies in 2023, fuel prices in Nigeria have largely been determined by global oil prices and exchange rates.
While the policy was introduced to reduce government spending and attract investment in the energy sector, critics say it has increased the cost of living.
The NLC noted that even local refineries must now adjust their prices based on global oil market conditions.
The union pointed to the operations of the large private refinery built by the Dangote Group, which has begun supplying petroleum products locally.
According to the NLC, the refinery has also adjusted prices in response to global market changes, showing that domestic refining alone may not automatically guarantee stable fuel prices.
Despite the economic hardship caused by rising fuel prices, analysts say Nigeria could benefit from higher global crude oil prices.
Recent projections by the Nigeria Economic Summit Group (NESG) suggest that the country could earn about N30 trillion in additional oil revenue if global prices remain high due to the Middle East crisis.
This potential revenue increase is often described as a windfall — an unexpected financial gain.
The NLC, however, warned that such funds must be used responsibly.
According to the union, previous oil windfalls did not significantly improve the lives of ordinary Nigerians.
The labour body urged the government to invest any additional oil revenue in programmes that directly benefit citizens.
Economists say the ongoing Middle East crisis is having mixed effects on Nigeria’s economy.
On one hand, higher crude oil prices could increase government revenue and strengthen foreign exchange earnings.
On the other hand, rising fuel prices are pushing up inflation and increasing the cost of transportation, food, and basic goods.
Nigeria’s heavy reliance on imported fuel makes the country especially vulnerable to changes in global oil prices.
The NLC concluded its statement by calling for sincere dialogue between the government, labour unions, and the public.
The union said the government must prioritize the welfare and security of citizens, especially during difficult economic periods.
“Nigerian workers are not statistics,” the statement said. “They are the engine of the nation. When the engine overheats, the entire vehicle crashes.”
The labour body warned that using global crises as justification for policies that increase poverty would only deepen public frustration.