Subsidy Removal: FG, Labour Unions Fail to Reach Agreement

By Modupe Gbadeyanka

The federal government and the labour unions in Nigeria are yet to reach a conclusion on the removal of fuel subsidy by the latter.

The two parties held a meeting on Wednesday evening, but it was adjourned after they failed to agree.

The federal government announced the removal of subsidy on premium motor spirit (PMS), popularly known as petrol, on Monday and yesterday, the Nigerian National Petroleum Company (NNPC) announced an increment in the pump price.

At the meeting on Wednesday, the representatives of the labour unions maintained that the government must revert to the old pump price before talks can continue, while the federal government delegations opposed this.

The unions were led by the President of the Nigeria Labour Congress (NLC), Mr Joe Ajaero, and the President of the Trade Union Congress (TUC), Mr Festus Osifo, while the Governor of the Central Bank of Nigeria, Mr Godwin Emefiele; the chief executive of NNPC, Mr Mele Kyari; former Governor of Edo State and NLC President, Mr Adams Oshiomhole; and Mr Dele Alake led the FG team to the table at the Presidential Villa.

The organised labour said the government did not widely consult with them before the subsidy was removed, arguing that the action was already subjecting workers in the country to untold hardship.

They stressed that the government must put in place plans to cushion the effect of paying more for fuel before the removal can stand.

While addressing journalists shortly after the meeting, a spokesman of President Bola Tinubu, Mr Alake, said the meeting was fruitful, though he disclosed that the parties would gather again to continue discussions on the matter.

“We cannot go into any details [of the meeting] now because talks are still ongoing. We cannot finish everything in one sitting. So, we have adjourned now and will continue talks at a later date, very shortly.

“But the point is that talks are ongoing, and it is always better for all sides to keep talking with a view to arriving at an amicable resolution that would be in the longer-term interest of all Nigerians; that is as much as we can say now,” Mr Alake told newsmen.