NLC President Criticizes New Tax Law, Calls for Immediate Review

The President of the Nigeria Labour Congress, Joe Ajaero, has strongly criticized the recently enacted tax legislation, stating it was developed without input from workers and imposes an unfair burden on low-income earners.

Ajaero made the remarks on Wednesday in Abuja during the unveiling of a memoir and 85th birthday celebration for former NLC President Hassan Summonu. He asserted that workers were deliberately excluded from the presidential tax reform process, leading to a law that exacerbates economic hardship.

“The Tax Laws went through a process that clearly excluded Nigerian workers and masses who are the major taxpayers in Nigeria,” Ajaero said. “We knew that the workers and masses were going to be on the menu; we said so and alerted the nation.”

He described the law as regressive, arguing that it places heavy burdens on those already struggling. “Tax that taxes the national minimum wage is not fair. Tax that taxes the masses who are living in excruciating poverty is regressive,” he stated.

The labour leader called on the Federal Government to pause and review the law, warning that its implementation risks undermining public trust and democratic principles. “Continuing with this is a dangerous pattern that seriously undermines tax administration itself and indeed our democracy,” Ajaero added.

He urged the government to move toward more inclusive policymaking, emphasizing that “true democracy is not just about elections; it is about the rule of law, institutional integrity, and governance that serves the many, not the few.”

Ajaero also called for the full constitution of the PENCOM Board and meaningful engagement with labour on policies affecting workers. Furthermore, he reiterated the NLC’s demand for the government to address wages ahead of next year’s national minimum wage negotiations.

The criticism comes amid growing public concern over the new tax reforms, with some opposition figures warning that the policy could deepen economic difficulties for ordinary Nigerians.