Newscenter Media News A major rift has emerged between Nigerian telecom workers and the Nigeria Labour Congress (NLC) over the recently approved 50% increase in telecom tariffs, with the industry union rejecting the NLC’s planned nationwide protest and warning of a looming crisis in the telecom sector.
The Private Telecommunications and Communications Senior Staff Association of Nigeria (PTECSSAN), representing workers in the sector, has strongly opposed the February 7 protest, arguing that while the tariff hike is painful, it is a necessary step to prevent the industry’s collapse.
In a letter addressed to the NLC leadership on Friday, PTECSSAN accused the labour body of failing to consult them before declaring the protest, despite the telecom sector being directly affected. The union painted a grim picture of the economic pressures threatening the survival of telecom operators, warning that failure to adjust tariffs could lead to service disruptions, job losses, and a breakdown in essential communication infrastructure.
“We understand the burden this places on Nigerians, but without this increase, the telecom industry is on the verge of crisis,” PTECSSAN’s General Secretary, Comrade Okonu Abdullahi, stated in the letter.
The union outlined the crippling costs faced by telecom operators, attributing them to multiple economic shocks, including:
The removal of fuel subsidies, which has drastically increased diesel prices for powering base stations. Diesel has surged from N842.25 per litre in May 2023 to N1,441.28 in January 2025.
Petrol prices, essential for field engineers maintaining network infrastructure, have skyrocketed from N198 per litre to over N1,030.
The free-fall of the naira, which has weakened from N460/$1 in May 2023 to N1,700/$1, making equipment imports almost unaffordable for operators.
With telecom firms struggling to keep up with rising costs, PTECSSAN warned that some operators might resort to “service shedding”, leading to network failures, slower internet speeds, and unreliable mobile services across the country.
“If this happens, the impact will be felt far beyond telecommunications. The banking sector, e-commerce, emergency services, and national security could all be affected,” the union stated.
READ ALSO: NLC rejects 50% telecom tariff hike, insists mass protest will hold on Feb 4
Beyond the industry’s survival, PTECSSAN also raised concerns over the welfare of telecom workers, noting that while other sectors have implemented salary increases in response to inflation, telecom employees have been left behind.
The letter stressed that without a tariff review, telecom companies will be unable to adjust salaries, leaving workers vulnerable to mass layoffs.
“If a situation like this persists, employers will have no choice but to downsize. We are sure that neither the NLC nor the Congress leadership would want to see this happen,” the union stated.
In urging the NLC to reconsider the planned protest, PTECSSAN emphasized that the tariff hike was not an arbitrary decision. It was approved after consultations with key stakeholders, including President Bola Ahmed Tinubu, and remains the only viable solution under current economic realities.
“We plead with the Congress leadership to rescind the decision to embark on this demonstration. If all other factors remain unchanged, this tariff adjustment is the only way to sustain the sector and prevent its collapse,” the letter read.
Despite these arguments, consumer advocacy groups are pushing back. The National Association of Telecommunications Subscribers (NATCOMS) has threatened legal action against the tariff increase, arguing that the Nigerian Communications Commission (NCC) failed to adequately consult subscribers before approving the hike.
The NCC, which announced the adjustment on January 20, 2025, defended its decision, citing rising operational costs and its responsibility under Section 108 of the Nigerian Communications Act, 2003, to ensure industry sustainability.
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