The organized labor movement in Nigeria, led by the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), has issued a final warning to the Federal Government to suspend the implementation of the 2026 Tax Reform Laws.
Speaking in Abuja during a memoir launch for former NLC leader Hassan Sunmonu, Joe Ajaero characterized the new laws, signed into law by President Bola Tinubu in June 2025 and effective as of January 1, 2026, as regressive.
The demand, made by NLC President Joe Ajaero on Wednesday, aims to prevent a nationwide industrial face-off over policies he claimed are designed without the input of the Nigerian workforce.
The NLC argues that the drafting process deliberately excluded the very workers who contribute the bulk of the tax revenue of the nation. Ajaero warned that taxing the national minimum wage or citizens living in excruciating poverty is a violation of social justice.
The Tax Laws went through a process that clearly excluded Nigerian workers and masses who are the major tax payers in Nigeria… we knew that the workers and masses were going to be on the menu. Tax that taxes the masses who are living in excruciating poverty is regressive… We do not see anything wrong in pausing along this negative path, rethink, and redirect – Joe Ajaero
The Nigeria Tax Act 2025, was intended to simplify the complex tax system of the country by consolidating several legacy laws.
A key feature of the reform, championed by the Presidential Fiscal Policy and Tax Reforms Committee led by Taiwo Oyedele, is the exemption of individuals earning below ₦800,000 to ₦1.2 million annually from Personal Income Tax (PIT).
The union is demanding for a pause in the implementation in order to allow key stakeholders from both the public and private sectors to review.
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