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Cost of living: FG, NLC meeting deadlocked, bakers threaten shutdown

Ademola Damilola by Ademola Damilola
February 14, 2024
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A deadlock persisted on Monday night during a meeting between the Federal Government and organized labor aimed at preventing the planned strike by the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) slated for February 23. Despite the efforts of the Minister of State for Labour and Employment, Nkeiruka Onyejeocha, the unions remained unconvinced and resolute in their decision to proceed with the strike.

Adding to the mounting tension, the Association of Master Bakers and Caterers of Nigeria issued a threat to commence a work stoppage on February 27, 2024, unless the Federal Government fulfills the 2020 agreement entered into with the association.

In response, the Minister of Information and National Orientation, Mohammed Idris, expressed optimism that reason would prevail, urging labor to reconsider the strike in the nation’s interest. The NLC and TUC had issued a 14-day nationwide strike notice on February 8, citing the government’s failure to implement agreements made on October 2, 2023, after the removal of the petrol subsidy.

Leaders of the labor unions, Joe Ajaero and Festus Usifo, expressed disappointment in the government’s disregard for agreements, leading to widespread suffering. Despite a 16-point agreement with the Federal Government to ease the impact of the subsidy removal, crucial elements, including the promised N35,000 payment to federal workers, cash transfers, and CNG buses, have not materialized.

NLC Vice President Hakeem Ambali insisted that the strike would proceed unless the government addressed the hardships inflicted by the subsidy removal. Ambali revealed that a recent meeting with the Minister of State for Labour highlighted the government’s failure to implement significant portions of the October agreement, emphasizing the urgency to avert the impending strikes.

Highlighting the time-bound nature of the agreements, Ambali criticized the government for delays in implementing promises, including the absence of CNG buses on the roads and the failure to negotiate new wages with state governments.

In a separate development, NLC President Joe Ajaero, speaking at a labor forum, attributed the lack of positive outcomes in social dialogues to the government’s failure to implement agreements. He advocated for a yearly review of minimum wages to address economic hardships.

Responding to calls for tripartism and social dialogue, Ajaero questioned the essence of dialogue when agreements were not implemented. He called for amendments to the minimum wage law and criticized the government’s “promise and fail” tactics.

The Association of Master Bakers announced a nationwide withdrawal of services from February 27, citing multiple taxation and high baking material costs. The association demanded the liberalization of flour and sugar importation, reduction of import duties, and financial support for bakers affected by the post-COVID-19 economic challenges.

The Premium Breadmakers Association of Nigeria expressed support for the master bakers’ strike, citing the government’s indifference to the bakery industry’s challenges. PBAN President Emmanuel Onuorah highlighted the increasing costs of baking materials, leading to disruptions in production.

Amidst these developments, the Federal Government revealed plans to distribute 102,000 metric tons of assorted grains to address soaring food prices. The Minister of Information and National Orientation, Mohammed, emphasized the government’s commitment to making food available to the masses and hinted at additional measures if needed.

The situation remains tense as labor unions and associations stand firm on their demands, setting the stage for potential strikes and disruptions in various sectors.

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