The Trade Union Congress (TUC) has warned the Federal Government that it will call a nationwide strike if the federal government proceeds with its 5 percent tax on petroleum products.
The TUC said this would simply amount to “economic wickedness,” since Nigerians are already facing high costs of fuel, food inflation, and the effects of the removal of subsidies. TUC representatives said imposing another tax would only compound the suffering of workers and households.
“We will fight this tax with all legal means available to us,” TUC President Festus Osifo stated, noting that he had notified all state councils and affiliates to gauge support for any strike. The TUC has written to civil society organizations, student unions, religious leaders, and associations of traders to respond to this call to collective action, if the Federal Government does not retract its position on the tax.
Although the proposed tax, the 5 percent tax surcharge, is part of the Nigeria Tax Administration Act that became law in June 2025, it has not yet been gazette by the ministry responsible.
The provision is also related to the Federal Roads Maintenance Agency (FERMA) Act of 2007, which outlined similar levies in the past. However, the timing of enforcement remains unknown.
Regardless, from the TUC’s position this tax must stop, now. It argued to the union that Nigerians cannot bear any more financial bleeding when the cost of living has reached the point of financial pain, necessitating emergency measures to alleviate the strain.
There has also been public discourse surrounding the tax. While some feel that the tax will give the Government more funds to provide infrastructure, others feel it will cause more inflation and less purchasing power.
According to business opinions, if transportation costs rise, the transport industry and any other business will be able to absorb these new increases in the economy, as the economic system has very little capacity to absorb the government’s costs.
So far, the Federal Government has not issued an official response to the TUC, but tensions have risen throughout the country.
As the stand-off builds, all eyes are on the government. Nigerians are now waiting to see if dialogue will succeed or if the TUC will mobilize workers for yet another nationwide strike.
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