NLC Demands New Minimum Wage, National Pension as Inflation Erodes Workers’ Income

The Nigeria Labour Congress (NLC) is preparing to launch a nationwide campaign for a comprehensive review of Nigeria’s national minimum wage while also demanding the introduction of a national minimum pension to improve the welfare of retirees.

NLC President, Joe Ajaero, disclosed this on Monday in Abuja, saying organised labour could no longer focus exclusively on the earnings of serving workers while ignoring the worsening economic conditions confronting pensioners across the country.

Ajaero spoke during the inauguration of the Godwin Abumisi Pensioners Legacy House and Multipurpose Hall, where he argued that the welfare of retirees must receive the same level of attention as that of workers still in active service.

He said the rising cost of living and persistent inflation had significantly reduced the purchasing power of both workers and pensioners, making a review of wages increasingly necessary.

“The Nigeria Labour Congress is currently in the preparatory stages for a major national struggle for a comprehensive review of the national minimum wage,” Ajaero said.

He added that labour’s campaign would also seek to address the broader welfare challenges confronting citizens after retirement.

“However, it is no longer acceptable to discuss the welfare of workers without also discussing the welfare of those who have completed their active years of service,” he said.

The labour leader described the condition of many Nigerian pensioners as unacceptable, arguing that people who spent their productive years serving the country should not be left struggling to survive after retirement.

“It is a historical injustice that men and women who devoted their youth, strength and productive years to the service of this nation should be condemned to live below the poverty line after retirement,” Ajaero said.

He attributed the deteriorating living conditions of retirees to the combined effects of inflation and the rising cost of essential goods and services, which he said had substantially eroded the real value of pension payments.

Ajaero said many pensioners were now struggling to meet basic needs because their incomes had failed to keep pace with economic realities.

“We cannot continue to allow our senior citizens to survive on pensions that have become poverty wages. Every retiree deserves to live with dignity after decades of faithful service to the nation,” he said.

The NLC president called on pensioners across the country to remain united and mobilise behind efforts to secure improved retirement benefits.

He also demanded the immediate payment of outstanding pension arrears, alongside reforms to create a pension system capable of providing retirees with greater financial security and a decent standard of living.

“We will continue to demand the immediate payment of all outstanding pension arrears and the implementation of a pension regime that guarantees every retiree a life of dignity and security,” Ajaero stated.

The NLC's planned campaign signals a broader labour agenda that extends beyond the periodic review of workers' salaries to include retirement welfare and pension reform.

The push comes against the backdrop of persistent concerns over the impact of inflation and the rising cost of living on household incomes across Nigeria.

For organised labour, Ajaero's position suggests that any future conversation around workers' wages must also take into account the financial realities facing pensioners, many of whom spent decades in public or private service before retirement.

The proposed campaign for a new minimum wage review and national minimum pension could therefore set the stage for renewed discussions between labour, governments and other stakeholders over workers earnings, pension payments and the broader social protection system in Nigeria.