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Reading: Heavy Tax Burdens And Rising Debt Endanger Nigeria’s Democratic And Economic Future, Labour Congress Warns
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Heavy Tax Burdens And Rising Debt Endanger Nigeria’s Democratic And Economic Future, Labour Congress Warns

Oluwadara Akingbohungbe
By
Oluwadara Akingbohungbe
Published: 2026/01/08
6 Min Read
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Nigeria’s central labour organisation, the Nigeria Labour Congress, has raised a strong alarm over what it described as a dangerous mix of heavy taxation, low wages, and rising national debt, warning that the situation could undermine both economic stability and democratic governance in Africa’s most populous country.

The warning was issued by the President of the Nigeria Labour Congress, Joe Ajaero, during the public presentation of a book and the eighty fifth birthday celebration of Hassan Sunmonu, the founding President of the Nigeria Labour Congress. The event served not only as a tribute to a historic labour leader but also as a platform to assess Nigeria’s current economic direction and its impact on workers and low income citizens.

Okay News reports that Ajaero accused the Federal Government of Nigeria of systematically excluding workers and vulnerable populations from key policy discussions, particularly those relating to taxation, wages, fuel pricing, and public borrowing, despite the direct consequences of such decisions on their livelihoods.

Speaking on the legacy of Hassan Sunmonu, a former trade unionist and national labour leader whose activism shaped organised labour in Nigeria, Ajaero said: “Today, we honour a titan of the working-class struggle, a man whose life and work are captured in the defiant title of his book: ‘Organise, Don’t Agonise.’ This is not just a title; it is the militant creed that has defined Summonu’s journey and the very soul of our movement.

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“From the shop floors and factories to the corridors of pan-African power, he taught us that the power of the people, when organised, is the ultimate answer to agony imposed by exploitation and poor governance.”

Placing the celebration within a wider national context, the labour leader stressed that Nigeria’s economic challenges require sober reflection, stating: “This event transcends a personal celebration. It is a moment of reflection on the state of our nation and the condition of the working people whose sweat builds it. Summonu’s memoirs challenge us to ask: how far have we come in realising the dreams of economic democracy for which he fought?”

Ajaero also questioned the transparency surrounding Nigeria’s growing public debt, raising concerns over accountability in government borrowing. He said: “That is why the question Comrade Summonu publicly posed a few days ago resonates: Where are all the monies being borrowed by the federal government?”

According to him, the philosophy of organised labour demands engagement rather than confrontation, especially in policymaking. “The philosophy of ‘Organise, Don’t Agonise’ also implies that the state has a duty to engage, not enrage. Policies on fuel pricing, taxation, wages and social services must be crafted with the active and respected input of those who represent the workers and the masses,” he said.

Addressing the recently introduced tax laws, Ajaero criticised the process that led to their passage, insisting that workers were deliberately sidelined. “The tax laws went through a process that clearly excluded Nigerian workers and the masses who are the major taxpayers in this country.

“From the Presidential Committee on Tax, Nigerian workers were deliberately excluded, and we warned the nation of the dangers.”

He argued that the outcome of the process has worsened inequality, adding: “Today, the result is clear, laws with serious alterations directed at making workers and the poor poorer. Tax that taxes the national minimum wage is not fair. Tax that imposes heavy burdens on people living in excruciating poverty is regressive.”

Calling on the Federal Government of Nigeria to halt and review its approach, the Nigeria Labour Congress President said: “We do not see anything wrong in pausing along this negative path, rethinking and redirecting.

“The federal government must immediately and fully constitute the National Pension Commission Board and address the concerns of Nigerians on the tax law, instead of the present grandstanding.”

He warned that pushing ahead without clarity could weaken public trust in governance. “Insisting on going ahead amid confusion is like muddling along in darkness. This dangerous pattern undermines tax administration itself and indeed our democracy.

“Your legacy must be in crafting credible laws that strengthen institutions, not undermine them. When you bypass key stakeholders and rule by strong arm, you negate public trust and threaten national stability.”

Ajaero concluded by reaffirming labour’s resolve to continue advocacy. “We will continue to organise. We will continue to challenge power. We will continue to fight for a Nigeria where no worker has to agonise over poverty, insecurity, heavy taxation or a stolen future riddled with national debt.”

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TAGGED:Joe AjaeroNigeria Labour CongressNigeria tax lawsNigerian Economyworkers’ welfare
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