The recent approval of a 50% increase in telecommunications tariffs by the Nigerian Communications Commission (NCC) has sparked widespread criticism, with labour unions and many Nigerians condemning the decision as insensitive and untimely.
The Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have strongly opposed the tariff hike, describing it as a burden on workers and the masses already grappling with the harsh economic realities in the country.
In a statement, NLC President Joe Ajaero said the increase represents an attack on workers’ welfare and a disregard for the plight of ordinary Nigerians. He noted that telecommunications services are critical for daily activities, but the new rates would push workers to spend an unsustainable portion of their incomes on phone services.
“An average Nigerian already spends about 10% of their earnings on telecom services. With this increase, a worker earning the N70,000 minimum wage will now spend up to N10,500 per month, which is over 15% of their salary. This is unsustainable and reflects the government’s preference for corporate profits over citizens’ welfare,” Ajaero stated.
He also criticized the government for approving the tariff hike within a month while taking almost a year to implement the recent minimum wage review. According to him, this disparity shows a government more aligned with corporate interests than with the needs of its citizens.
The NLC has called for the immediate suspension of the tariff hike and urged the government, NCC, and National Assembly to engage stakeholders in a dialogue to ensure a more reasonable review. The congress warned of potential mass action, including a nationwide boycott of telecom services, if the increase is not reversed.
Similarly, TUC President Festus Osifo described the hike as “one increase too many,” urging the government to reconsider its policies on essential services.
However, telecom operators under the Association of Licensed Telecom Companies of Nigeria (ALTON) have welcomed the increase, saying it is necessary for the survival of the industry.
ALTON Chairman Gbenga Adebayo commended the NCC’s decision, describing the 50% increase as a step towards reviving the sector, which has been struggling due to rising operational costs, inflation, and naira devaluation.
In a statement, Airtel Nigeria CEO Dinesh Balsingh applauded the NCC for prioritizing the sustainability of the industry while balancing consumer interests. According to him, the tariff adjustment will enable telecom operators to invest in infrastructure, expand network coverage, and deliver improved services to customers.
“The price increase was necessary for the survival and continued growth of the industry. It will allow us to keep investing in superior products and services while meeting the evolving needs of Nigerians,” Balsingh said.
As the debate continues, Nigerians remain divided, with many expressing concerns over the rising cost of living and its impact on their daily lives. The coming days will reveal whether the government and telecom regulators will heed public outcry or proceed with the implementation of the controversial tariff hike.