Airlines Face Strike Threat Over Unremitted Ticket Sales Charges

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A fresh industrial crisis may be brewing in Nigeria’s aviation sector as aviation workers have issued a seven-day ultimatum to airline operators and other organisations owing statutory Ticket Sales Charges (TSC), warning that they will begin nationwide picketing if the debts are not settled within the deadline.

The ultimatum was jointly issued by the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and the National Union of Air Transport Employees (NUATE), following the expiration of an earlier 14-day notice served on defaulting operators.

The unions said the earlier ultimatum, issued on July 8, expired on July 23 without any meaningful response from the affected airlines and organisations.

They accused the defaulters of deliberately refusing to remit the five per cent Ticket Sales Charge collected on airline tickets, despite the funds belonging to aviation agencies responsible for regulating and maintaining safe air transport operations in Nigeria.

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The warning raises concerns over another possible disruption in the aviation sector, which has witnessed several labour disputes in recent years over workers’ welfare, funding and operational challenges.

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In a joint statement signed by the General Secretary of ATSSSAN, Frances Akinjole, and the Deputy General Secretary of NUATE, Odinaka Igbokwe, the unions expressed disappointment over what they described as the “willful non-compliance” of airline operators and other debtors.

According to them, the continued failure to remit the statutory charges has left key aviation agencies without the financial resources needed to carry out their responsibilities effectively.

The workers warned that the situation is affecting not only the agencies but also employees whose welfare depends on the availability of these funds.

“Our earlier 14-day ultimatum has expired, and regrettably, willful non-compliance has been recorded,” the statement said.

“The aviation agencies remain starved of the required funds to keep our skies safe, while the conditions of service of our members in the various agencies continue to be jeopardised because of the non-remittance of the Ticket Sales Charge.”

The Ticket Sales Charge is a statutory five per cent levy imposed on every airline ticket sold within Nigeria.

The money is collected from passengers by airline operators and is expected to be remitted to the Nigeria Civil Aviation Authority (NCAA), which distributes the funds among aviation agencies to support their operations.

The revenue is used to finance regulatory oversight, airport safety programmes, air navigation services and other activities necessary for maintaining a safe and efficient aviation system.

Industry stakeholders say the timely remittance of the charge is critical because many aviation agencies depend heavily on the revenue to meet operational expenses, maintain infrastructure, train personnel and provide safety oversight.

Until recently, the Airline Operators of Nigeria (AON) had been collecting the Ticket Sales Charge on behalf of the aviation authorities before announcing that it would no longer continue with the arrangement.

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That development has contributed to renewed concerns over the collection and remittance of the statutory levy.

According to the unions, the prolonged withholding of the funds has weakened the financial position of aviation agencies and affected workers across the sector.

They argued that the inability of agencies to access money meant for their operations has created a serious challenge that could eventually affect safety and security within Nigeria’s airspace.

The unions said the failure to remit the charges has also affected workers’ morale because the shortage of funds has made it more difficult for agencies to meet their obligations to employees.

According to them, poor staff welfare and inadequate funding create conditions that could undermine efficient service delivery in an industry where safety remains the highest priority.

“This unnecessary demotivation factor to the air transport worker is a security and safety risk,” the unions warned.

They added that aviation workers could no longer watch while agencies responsible for protecting Nigeria’s airspace struggled financially because of unpaid statutory charges.

Declaring that patience had run out, the unions issued what they described as a final seven-day notice to all airlines and organisations that have failed to remit the Ticket Sales Charge.

They warned that failure to comply within the new deadline would leave them with no option but to begin industrial action.

“We can no longer helplessly fold our hands and allow the safety of our airspace to remain compromised.

“We hereby issue a seven-day notice to every TSC defaulter to remit the total debt owed to the agencies. Failure to do so will result in our unions taking concrete actions at their various premises,” the statement added.

Although the unions did not provide details of the planned action, nationwide picketing could affect airline operations if workers prevent access to offices and operational facilities of defaulting airlines.

Such action may also disrupt flight schedules, inconvenience passengers and create delays across airports if the dispute is not resolved before the deadline expires.

Nigeria’s aviation sector has experienced significant reforms over the years aimed at improving safety, strengthening regulation and modernising airport infrastructure.

The NCAA, the Federal Airports Authority of Nigeria (FAAN), the Nigerian Airspace Management Agency (NAMA), the Nigerian Safety Investigation Bureau (NSIB) and other aviation institutions rely on internally generated revenue and statutory charges to fund their activities.

Inspections of airlines, certification of aircraft, monitoring of airport facilities, air traffic management and emergency response systems all require consistent financial support.

Labour unions have repeatedly argued that delayed remittance of statutory revenues weakens the ability of these agencies to perform their duties effectively.

In recent years, aviation workers have organised protests over issues ranging from unpaid salaries and poor working conditions to the implementation of agreements reached with the Federal Government.

Several of those disputes were resolved through negotiations involving the Ministry of Aviation and Aerospace Development, airline operators and labour representatives.

The latest disagreement now places fresh pressure on stakeholders to find a quick solution before industrial action disrupts flight operations.

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As the seven-day ultimatum begins, attention will focus on whether the defaulting operators will clear the outstanding debts or negotiate with the unions to avert the planned picketing.

For thousands of passengers who rely on air transport for business and personal travel, stakeholders say a peaceful resolution is in the interest of the industry and the wider economy.

The aviation workers, however, insist that unless the outstanding Ticket Sales Charges are fully remitted, they are prepared to proceed with nationwide action to compel compliance and protect the financial stability of Nigeria’s aviation agencies.

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