Joe Ajaero, the President of the Nigeria Labour Congress (NLC), has spoken out against the new tax law, calling it regressive and asking for an immediate review to safeguard workers and people with low incomes.
Ajaero spoke today in Abuja at the launch of the biography of former NLC President Hassan Summonu, who was celebrating his 85th birthday. He stated that workers were purposely left out of the tax reform process, even though they are the country’s biggest taxpayers, according to The Guardian.
He remarked, “The tax laws went through a process that clearly left out Nigerian workers and the masses, who are the main taxpayers in Nigeria.”
We knew that the workers and the people were going to be on the menu since Nigerian workers were purposely left out of the Presidential Committee on Tax. We warned people about the risks, but no one paid attention. Today, the effect is clear: rules that have been changed a lot to make workers and the poor poorer have become the result.
Ajaero remarked that taxing people who make the national minimum wage was not fair or progressive. “Taxing the national minimum wage is not fair.” He said, “Tax that taxes the poor people who are living in terrible poverty is regressive.”
The chairman of the labor union encouraged the federal government to stop and think about the law again, saying that if it keeps going, it could hurt people’s trust in government. “Insisting on going ahead is like trying to get through life in the dark and confusion because we don’t know which one is really the law.” He remarked, “This pattern of behavior is dangerous and seriously hurts the tax administration and our democracy as a whole.”
Ajaero also asked the government to cooperate more closely with labor unions on measures that affect workers. This includes quickly forming the PENCOM Board and talking about workers’ salaries before the next round of national minimum wage negotiations.
“Stop making people suffer and start working with them,” said the government. He remarked, “Let’s build a democracy that gives us not only political freedom but also economic freedom, where the nation’s wealth serves the welfare of its people.”
The head of the NLC promised to keep fighting for workers’ rights and well-being. “We will keep challenging power,” he said. We will keep fighting for a Nigeria where no worker needs to worry about poverty, crime, high taxes, or a future full of national debt.
Opposition leaders and labor groups are calling for the tax reform plan to be put on hold. They say that the policy could make things worse for the economy and lead to civil unrest.
