In Nigeria, the experiences and realities of workers have been checkered, oscillating between years of prosperity and periods of inescapable economic hardship. Workers are the pillars on which the very essence and existence of any nation rest and should be treated with honour, respect and dignity. This, sadly is not the case of Nigerian workers
May 1st of every year has been designated to celebrate workers worldwide. To celebrate their resilience, resourcefulness, brilliance, commitment and contributions to the world that we live in and make it a better place for everyone. While their efforts and the work they put into making the wheel innovations and productivity keep moving are recognised and acknowledged, the question is whether they are fairly rewarded and duly compensated for shouldering the burden of civilisation, evolution and continued human existence.
The answer to this question varies from country to country. In Nigeria, the experiences and realities of workers have been checkered, oscillating between years of prosperity and periods of inescapable economic hardship. Workers are the pillars on which the very essence and existence of any nation rest and should be treated with honour, respect and dignity. This, sadly is not the case of Nigerian workers, especially under the current administration of President Bola Tinubu. Like the two previous May Days since he came to power in 2023, this year’s Workers’ Day has been overshadowed by the worsening cost-of-living crisis, which has been exacerbated by runaway inflation.
On May 29 2023, President Bola Tinubu, during his swearing-in announced the removal of subsidy on petrol and the exchange rate. The two subsidy schemes have long been considered a drain on the nation’s lean resources, and their removal, some experts say, will free up funds to be spent on other critical areas of the economy and, in turn, herald a new era of economic prosperity. But that is not to be. What happened instead is galloping inflation and an unprecedented cost-of-living crisis.
In the months that followed the removal of these subsidies, prices of basic goods and staple household commodities went up by more than 200% or even higher in some cases. Since the removal of the subsidy on petrol was done haphazardly and without prior arrangement and measures to mitigate its impact, Nigerians were left in a lurch and had to find a way to survive the harsh and precarious reality. The government claimed the removal of the two subsidies without any plan to cushion its debilitating effect on the people was a necessary evil and the people must endure the momentary suffering and hardship for future prosperity.
In the last three years, runaway inflation has eroded the purchasing power of Nigerians, decimated their disposable income and rendered their savings useless. This has plunged many into poverty, with many previously well-to-do citizens now living from hand to mouth, and many lower-middle-class citizens now grappling with abject poverty. As the citizens continue to experience deeply unsavoury and damaging changes in fortune, politicians are living extravagantly and flamboyantly, refusing to heed their own admonition of austerity, frugality and sacrifices for the good of the nation.
Though effort has been made to cushion the effect of these policies on the workers, whatever measures the government have put in place and steps taken to salvage the situation have proven to be nothing more than a drop in the ocean as astronomical increases in goods and services continue to erode the spending and purchasing power of the people. Workers now spend more than 70% of their salary on food, rent and transport.
In July 2024, when the implementation of the current N70,000 began, the exchange rate fluctuated immensely, with the naira showing extreme volatility, at about N1,472 to the dollar rate. At this rate, the minimum wage was equivalent to $43.19.
The National Bureau of Statistics (NBS) Consumer Price Index, which measures inflation, showed that as of March 2026, inflation stood at 15.38 per cent year-on-year. Consequently, workers noted that they fared far better and their living conditions were excellent in 2019, when the minimum wage was N30,000, than they are today, when the exchange rate hovered between N357 and N360 to the dollar.
A comparison of food commodity prices between 2019 and April 2026 shows that food inflation rose from 13.70 per cent to 14.31 per cent (under the revised standard). A bag of imported rice, which sold for N7,000, now costs N57,000, while a bag of local rice, previously sold at N12,000, now sells between N53,000 and N95,000, with prices fluctuating due to high transportation costs and market demand.
A big bag of melon rose from N252,500 in March to N330,000 in April, representing a 30.69 per cent increase. A large basket of round tomatoes rose from N50,000 to N65,000, while oval tomatoes increased from N35,000 to N40,000. A 50kg bag of white and yellow garri each increased by 25 per cent to N25,000.
Similarly, Royal Stallion rice rose by 13.2 per cent to N60,000, while Mama’s Pride rice increased to N65,000 from N57,500, up by 13 per cent. A big bag of ogbono increased from N246,500 to N300,000. A 5kg bag of Honeywell semovita rose by 13.85 per cent to N7,400, while the 2kg variant increased by almost 11 per cent to N3,100. A 5kg carton of Kings groundnut oil currently sells for N17,000, while a 70g Indomie carton sells for N10,000, and pasta/spaghetti sells for N19,000.
The sharp and steep rise in prices of basic items and staple commodities meant the preponderance of workers now live paycheck to paycheck and many even resort to borrowing to augment whatever they earn which means they are already in debt even before their payday. What this troubling reality then translates to is that they cannot dare to dream or aspire to become an upstanding, successful and dignified worker because the harsh and deplorable economic realities have robbed them of such opportunities.
There is no pathway to home ownership for even workers whose income is put in the bracket of high earners. Many Nigerians are working two jobs and are struggling to make ends meet or live a worthy and dignified life. For instance, a worker earning N70,000 monthly in 2015 could afford some commodities and still have modest savings. Today, purchasing power has weakened significantly, and incomes no longer provide the same level of comfort.
According to Labour, with the rising cost of energy, which has triggered an increase in the prices of basic food items, and a minimum wage of N70,000 that is no longer within the realm of what can be classified as a living wage as it is not enough for Nigerian workers, there is an urgent need for another wage increase. The 70,000 take-home pay can no longer take workers home.
