The Nigeria Labour Congress, (NLC), has warned that heavy taxation, low wages and the country’s growing debt burden pose serious threats to Nigeria’s economic and democratic stability, as it strongly condemned the Federal Government’s newly introduced tax laws.
In a statement issued yesterday, NLC President, Joe Ajaero, described the new tax regime as regressive and harmful to workers and low-income Nigerians, arguing that the policies worsen poverty and deepen inequality at a time when citizens are already grappling with high inflation and declining purchasing power.
Ajaero faulted the process that led to the introduction of the tax laws, saying organised labour and workers were excluded from consultations. According to him, taxing people who are already living in extreme poverty, including those earning the national minimum wage, is unjust and counterproductive.
The NLC president said: “The combination of heavy taxation, poor wages and rising public debt is a dangerous mix that threatens not just economic stability, but also democratic sustainability. You cannot burden workers and the poor with more taxes when their incomes can no longer meet basic needs”.
The labour leader noted that instead of expanding the tax net among struggling citizens, the government should focus on growing the economy, reducing waste, blocking revenue leakages and ensuring that the wealthy and corporate entities pay their fair share.
He called on the Federal Government to immediately suspend the implementation of the new tax laws to allow for a comprehensive review through inclusive dialogue involving labour unions and other critical stakeholders.
Ajaero also warned that organised labour may be compelled to resist the policies if the government ignores workers’ concerns, stressing that sustainable reforms must be people-centred and socially just.
