May Day: Labour rejects Tax Reforms Bill, wants retirement age to be 65 years

The organised labour on Thursday rejected the Tax Bill currently before the National Assembly, saying the legislative moves have excluded the voices of Nigerian workers. The leadership of the labour force insisted that workers must have a seat at the table during the formation of tax policies that will directly affect them.

Apart from these, the workers also rejected the selective upward review of retirement age to 65 years or 40 years of service, saying that such review should be extended to all categories of public servants.

The position of the workers was echoed during the 2025 May Day celebration which held at Eagle Square in Abuja, saw Joe Ajaero and Festus Osifo, presidents of the NLC and TUC respectively deliver a fiery address that echoed frustrations and aspirations of the Nigerian working class.

In their addresses, the two labour leaders decried what they described as the “unconstitutional suspension of the elected government of Rivers State” through a declaration of a State of Emergency, which they emphasised has no basis in Nigerian law. They called for an immediate reversal of this action, arguing that it sets a dangerous precedent for democratic governance.

Central to their demands was a call for economic justice. They highlighted the urgent need for salary adjustments that reflect current economic realities, insisting that workers cannot continue to bear the brunt of inflation, rising costs and policy failures. They criticised the existing PAYEE tax system, questioning the government on what exactly is being taxed and demanding transparency in how these deductions are calculated and applied.

The labour centres further rejected the Tax Bills currently before the National Assembly, stating that these legislative moves have excluded the voices of Nigerian workers. They insisted that workers must have a seat at the table during the formulation of tax policies that will directly affect them.

They also pushed for the immediate implementation of an agreed reduction in telecommunications tariffs from 50 percent to 35 percent, a promise they said has yet to materialise. They expressed frustration with the continued prioritisation of corporate profits over the survival of the ordinary Nigerian, calling for reforms that would shift focus toward the people.

Essential services such as energy, infrastructure and public utilities, they emphasised, must be oriented toward serving the public interest rather than private gains. In line with this, they reiterated their longstanding demand for a comprehensive review with the ultimate aim of a reversal of the electricity sector privatisation, which they argued has failed to improve service delivery, while deepening economic hardship for consumers.

On matters of governance, they demanded democratic accountability, transparency and urgent electoral reforms. The labour bodies condemned what they described as a sustained suppression of civic space and dissent, calling on both federal and state governments to stop actions that erode citizens’ rights and instead, work to strengthen democratic norms.

Security was also a major theme in their speech. They called for an immediate end to the widespread killings across the country, labeling the violence as genocidal and intolerable. They expressed concern over the safety of Nigerian workers, both within their workplaces and in the general environment, urging the government to prioritise the protection of lives.

The rights and welfare of workers took centre stage as they called for improved working conditions, including safe workplaces, the right to organise freely and protection from both state and employer intimidation.

They also pushed for the expansion of the National Labour Advisory Council’s activities and increased frequency of its meetings to better respond to emerging challenges in the labour sector.

The leaders condemned the continued indiscriminate registration of new unions in sectors where existing unions already have effective coverage, warning that such actions weaken organised labour and threaten its coherence.

They demanded the immediate settlement of all outstanding allowances, pensions and gratuities across the country, stressing that retired public servants, who devoted decades to national service, deserve a dignified and secure retirement.

Reiterating this, they called for the full restoration of gratuity payments, pointing out the injustice of denying career public servants benefits that are routinely enjoyed by political office holders after short tenures.

They also advocated for a uniform upward review of the retirement age to 65 years or 40 years of service, a policy currently applicable to teachers, health professionals and judicial officers to be extended to all categories of public servants.

Labour also raised the issue of what they described as dehumanising verification exercises faced by retirees, calling for more humane and efficient systems that respect the dignity of the elderly. They pushed for the establishment of a nationally accepted minimum pension that guarantees retirees a life of dignity and demanded that pensions be automatically adjusted in accordance with inflationary trends to protect their real value.

The two labour leaders added that the gathering of workers at Eagle Square resonated as a strong message to government authorities and employers of labour and stakeholders that the struggle for workers’ rights remains not only relevant, but necessary, and that the resilience of the Nigerian worker must never be taken for granted.

The demand in full reads:

“We make the following demands:

An urgent reversal of the unconstitutional suspension of the elected government of Rivers State via a State of Emergency which is alien to our laws.

That the federal and state governments should cease actions that erode the civic space, but should encourage and deepen it for the sake of our nation.

An immediate salary adjustment in sync with economic realities.

That government explains what exactly it is taxing in the PAYEE.

The withdrawal of the Tax Bills before the National Assembly to allow Nigerian workers sit at table where it is being conceived.

An immediate implementation of the reduction of telco tariff from 50 percent to 35 percent as agreed.

Economic Justice; A living wage, fair taxation and an end to policies that prioritise corporate profits over workers’ survival.

Democratic accountability, transparent governance, electoral reforms and an end to the suppression of dissent.

Energy, infrastructure and essential services must serve the people, not private interests.

An end to the genocidal killings and bloodletting across the nation.

Workers’ rights and security – Safe workplaces, the right to organise and protection from state and employer violence.

An expansion of NLAC’s activities and increasing the meeting periods.

That the indiscriminate registration of new unions in areas with proper coverage should stop.

Immediate payment of all outstanding allowances, pensions and gratuities across the nation.

Restoration of Gratuity Payments. Public servants, who served diligently for decades, deserve a dignified exit just like political office holders who serve for much shorter periods.

Upward review of retirement age. It is imperative to extend the revised retirement age of 65 years or 40 years of service currently enjoyed by teachers, health professionals, and judges to all public servants.

An end to dehumanising verification exercises in the public service.

An acceptable National Minimum Pension to guarantee dignity in retirement.

Automatic adjustment of pensions to reflect inflationary trends.

Once again, we call for a review of the electricity privatisation exercise with the view to a reversal.”

Meanwhile, thousands of working people were seen at the Eagle Square, Abuja to celebrate the day tagged: Reclaiming the civic space in the midst of economic hardship,this year’s Workers’ Day celebration comes barely few months after the Federal Government, under the leadership of President Bola Tinubu, increased the National Minimum Wage to N70,000.

Despite the increase, workers have called for further review of the minimum wage, especially with the high inflationary trend in the country.

May Day, which is usually observed on May 1, is set aside globally to commemorate the efforts of workers, especially their contributions to nation building.

At the Eagle Square Abuja, on Thursday, workers were seen in high spirit, with some chanting solidarity songs.