By Chukwuma Umeorah
In a season of heightened economic pressures and unprecedented challenges facing Nigerian workers and industries, the voice of organized labour remains critical in shaping national discourse. Comrade Bolarinwa Sunday, President of the National Union of Chemical, Footwear, Rubber, Leather, and Non-Metallic Products Employees (NUCFRLANMPE), shares insights on the state of his union, the mounting economic challenges, and the road ahead for both workers and industries.
In this candid conversation, he speaks on policy failures, sector-specific struggles, and the resilient spirit that must drive Nigerian labour forward.
State of the Union
Since I took office, the union has been relatively peaceful. We have maintained stability and continued the progress started by my predecessor. While we cannot claim perfection in all areas, we have succeeded in keeping the union united and active. The pace has been sustained, and we are steadily building on previous achievements to strengthen the union even more.
Pressing challenges in the chemical sector
One of our major challenges is the heavy dependence on imported raw materials. Almost everything we need is sourced from abroad. This makes our sector extremely vulnerable to the fluctuating foreign exchange rates—one day it’s N1,400, the next N1,600—making it difficult for industries to plan effectively. The unpredictability forces companies to delay operations as they seek new approvals from their directors to adjust budgets. This hurts factory output and overall sector performances.
In recent months, the exchange rate has been relatively stable between N1,400 and N1,600, compared to nearly N2,000 last year. Has this brought any improvement?
Frankly, it’s still not where it should be. While it’s better than the chaotic levels of last year, it’s important to remember that just two years ago, the dollar exchanged for about N500. Today, it’s over N1,500. That’s a huge jump! True stability hasn’t returned. We continue to urge the Central Bank of Nigeria (CBN) to work towards further bringing the rates down—even if not to N1,000—at least to a more manageable figure to ease the burden on industries and, by extension, the Nigerian people.
Views on government increases in tariffs, particularly electricity and banking fees / implications for workers
Honestly, I don’t believe the government is acting in the interest of the masses. Every day, tariffs and taxes are increased, and industries simply pass these costs onto the consumers. No business will absorb these additional expenses and still sell at the same old prices.
Whether it’s customs duties on imported materials, banking charges for deposits, withdrawals, ATM use, or internet transactions—Nigerians are being squeezed from all sides. Even telecom companies have joined the exploitative trend.
Meanwhile, banks report astronomical profits—over N4.2 trillion after taxes—while ordinary Nigerians can barely survive. The most painful part? The minimum wage for workers remains shamefully inadequate to meet these rising costs. The gap between income and expenses is widening dangerously.
Effect of economic pressures on industries and consumers’ purchasing power
The effects are very real and very damaging. High costs mean people cut down on essential items. Personally, I’ve switched from buying liquid milk to powdered milk for my children. Many families are making similar adjustments.
Industries are suffering too—take DSTV, for instance, which has seen a significant drop in subscriptions. If people can’t afford basic services, industries lose revenue and jobs are lost. If purchasing power continues to shrink, it’s only a matter of time before more companies will fold up.
Strategies Nigeria can adopt to manage excessive government loans and charges, boost local production
First, the culture of borrowing to pay salaries must end. It’s unsustainable. Loans should be directed towards production, infrastructure, and sustainable projects—not mere consumption. Many government parastatals aren’t even productive, so borrowing for them is like throwing money into a black hole.
Secondly, to encourage local production, interest rates must come down from the suffocating 27 percent level. We also need consistent support for small and medium enterprises (SMEs).
In the past, cottage industries thrived because running costs were low. Today, electricity, taxes, and loan repayment rates make such ventures nearly impossible. Farmers and real entrepreneurs need access to genuine funding, not politically connected imposters.
Engagement with policymakers and government’s response
We’ve had more success collaborating with industry leaders than with the government. Unfortunately, government response to our engagements has been very poor.
We have consistently raised issues such as double taxation, overregulation by agencies like NESREA, and inefficient loan disbursement systems, but our appeals are mostly ignored. Ministries like Power and Commerce and Industry rarely even acknowledge our communications.
The reality is that government agencies are under pressure to overtax industries to meet revenue targets, and this stifles growth. To make matters worse, some foreign companies, particularly Chinese firms, exploit Nigerian workers with impunity, further complicating our advocacy.
What should organized labour be doing in response to these economic realities? What specific actions is your union taking?
Labour must emphasize peace and dialogue between employers and employees. Industrial unrest will not solve these problems. In our sector, we maintain a dialogue platform, and I’m proud to say we have successfully renegotiated through the National Joint Industrial Council (NJIC), securing substantial wage increases for workers.
Beyond negotiations, we collaborate with broader movements under the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) to protest against anti-worker policies. While victories may seem small, such as reducing a proposed tariff hike from 20% to 15%, hey are crucial in safeguarding workers’ interests.
Minimum wage changes in chemical sector
Yes, the federal minimum wage mostly applies to public sector workers. In our sector, through the NJIC, we previously set our minimum wage at N87,500. Following recent negotiations, it has now risen to N112,000, effective for the next two years. Of course, many workers earn above this figure, but it provides a firm foundation for equitable wages across our industries.
Stemming the exit of multinational companies and retaining investment
The government must act decisively. Tax holidays, production incentives, and favourable policies are urgently needed.
During my time in the cocoa industry, producers received up to 40% production rebates annually, policies like that kept industries alive and thriving.
Electricity, logistics, and taxation are other major headaches. Industries need a special electricity tariff to survive. They also require better roads and infrastructure to cut logistics costs. If these challenges are seriously addressed, not only will multinationals stay, but Nigeria could attract even more foreign investment.
Key priorities for the rest of the year
We have already conducted six successful training programs for workers this year and plan to expand further.
We are also diversifying our operations; our guesthouse project has been completed and is now generating income for the union. By year-end, we hope to complete the construction of our shopping complex, further strengthening the union’s financial base and empowering our members.
May Day Message to Your Members and Workers
To all our members and Nigerian workers, my message is simple: Be hopeful. Better days are ahead.
Despite the hardships we face today, we must believe that change is possible. We must also trust in our leaders and work together in unity, because real progress only happens when we are united in purpose.
Finally, let us use this year’s May Day celebration to call on President Bola Ahmed Tinubu and all Nigerian leaders: govern with compassion, fairness, and a genuine commitment to the welfare of the people.