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NLC Kicked against Tariff Hike, Calls for Boycott 

by Daily Episode
January 23, 2025
in GENERAL NEWS
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NLC Kicked against Tariff Hike, Calls for Boycott 
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The Nigeria Labour Congress (NLC) has called on Nigerians to prepare for a nationwide boycott of telecommunication services in response to the Nigerian Government’s recent approval of a 50% increase in telecom tariffs.

The NLC argues that the hike is an unjust burden on citizens already grappling with economic hardships.

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NLC President, Joe Ajaero, expressed deep concern over the timing of the increase, particularly as it coincides with rising inflation and the declining purchasing power of average Nigerians. He highlighted that telecom services have become a basic necessity for communication, work, and access to information, with many workers already spending about 10% of their income on telecom charges. For workers earning the current minimum wage of N70,000, the hike would increase telecom spending from N7,000 to N10,500 a month, which Ajaero called unsustainable.

The NLC criticized the government for swiftly approving the tariff hike within a month, while taking nearly a year to implement the recently revised minimum wage. The union accused the government of prioritizing corporate interests over the welfare of citizens, asking when the government would truly protect the people it vowed to serve.

In response, the NLC urged Nigerians to reject the hike and prepare for collective action, including a potential nationwide boycott of telecom services. The union remains resolute in defending the rights of Nigerian workers and citizens, calling for a more reasonable tariff increase if any adjustment is necessary.

Telecommunication companies, however, have insisted that the tariff hike is necessary for the long-term sustainability of the sector and the improvement of services for subscribers. The Association of Telecommunications Companies of Nigeria (ALTON) stated that the tariff hike, which is set to take effect in February, will proceed as planned. ALTON Chairman, Gbenga Adebayor, emphasized that the adjustment is crucial for the sector’s development, including optimizing outdated equipment and improving the cost-mile experience for users.

Adebayor reiterated that the goal of the telecom operators is to provide better service quality and ensure the sector’s sustainability in the long run.

Meanwhile, the Federal Competition and Consumer Protection Commission (FCCPC) acknowledged the financial pressures faced by telecom operators but urged them to prioritize service improvements in exchange for the tariff hike. The FCCPC stressed that any increase in tariffs must lead to tangible improvements in service quality, including network reliability, speed, and customer service. The commission also welcomed a new directive from the Nigerian Communications Commission (NCC) requiring telecom operators to disclose all relevant details about their plans, such as costs, validity periods, and benefits, ensuring greater transparency for consumers.

The FCCPC emphasized that the additional revenue generated from the tariff increase should be allocated toward infrastructure development and service delivery. The commission further highlighted that operators must communicate the rationale for the tariff adjustments clearly to consumers, ensuring that the public is fully informed about how these changes will contribute to improving the quality of services.

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