Fuel Price Surge: NLC Demands Cost-of-Living Allowance, Tax Relief for Workers

Nigeria Labour Congress (NLC) has called on the Federal Government to urgently introduce relief measures to cushion the impact of rising fuel prices and worsening economic hardship across the country.

In a statement issued on Sunday and signed by its President, Joe Ajaero, the labour centre demanded the immediate introduction of a cost-of-living allowance (COLA), wage awards for workers, tax relief, and the rehabilitation of Nigeria’s public refineries.

The union said the recent surge in petrol prices—now ranging between N1,170 and N1,300 per litre—has significantly increased the financial burden on Nigerian workers and citizens. It warned that the situation could trigger widespread social unrest if urgent intervention is not implemented.

According to the NLC, the sharp increase in fuel prices is linked to volatility in global oil markets triggered by the escalating tensions in the Middle East involving the United States, Israel and Iran.

The Congress noted that the situation has exposed the vulnerability of Nigeria’s downstream petroleum sector and intensified the hardship faced by workers and their families.

“The Nigerian working class is bearing the brutal cost of a global crisis they did not create,” Ajaero said, adding that the failure to keep public refineries operational has left the country dependent on global oil market fluctuations.

The NLC also observed that even with domestic refining efforts such as the Dangote Refinery, fuel prices have continued to rise in line with international market trends, placing additional pressure on ordinary Nigerians.

The labour body therefore urged the government to immediately rehabilitate and ensure full operations at the Port Harcourt Refinery, Warri Refinery and Kaduna Refinery to reduce the country’s vulnerability to external shocks.

It also demanded the expansion and overhaul of the government’s cash transfer programme to ensure that assistance reaches vulnerable citizens and reflects current inflation levels.

The NLC further called for immediate tax relief for workers, including the suspension of taxes on low-income earners, arguing that taxing minimum wage earners amid rising living costs amounts to exploitation.

The union pointed to projections by the Nigeria Economic Summit Group indicating that Nigeria could earn an estimated N30 trillion oil windfall from the ongoing Middle East crisis. It insisted that such revenue must be used to ease the economic hardship facing citizens rather than disappear without tangible benefits.

The Congress urged the government to engage in genuine dialogue with labour unions and citizens to address the growing economic challenges.

“Nigerian workers are not statistics; they are the engine of the nation. When the engine overheats, the entire system risks collapse,” the statement added.