TUC Threatens Strike, Blames 50% Telecom Tariff Hike On Forex Crisis
The Trade Union Congress (TUC) has warned that it will not hesitate to take to the streets if the Federal Government fails to reverse its recent decision to approve a 50 per cent increase in telecommunications tariffs, a move the union deems both ill-timed and an act of economic oppression against Nigerians.
Speaking on Thursday, the TUC President, Comrade Festus Osifo, made his position clear following the union’s National Administrative Council (NAC) meeting held earlier that day.
At the heart of the TUC’s argument is the belief that the proposed tariff hike is merely a symptom of a much larger problem which is the mismanagement of foreign exchange (forex) resources by the government.
“If you know what the root cause of the problem is, why would you start looking at the symptoms?” Osifo questioned, emphasizing that “all the increment that we are seeing today is actually the symptoms of the FX mismanagement.”
He continued, “We were the first to raise concerns early last year that whenever the Federal Allocation Committee (FAAC) releases funds, there is a direct correlation between the release and the depreciation of the naira in the parallel market.
“The price of the car in dollars has not changed, but our exchange rate has worsened, making it more expensive in naira terms.
“So, all we are asking is that let us sit down, let us look at how we can go back to that root cause because we strongly believe that if that root cause is addressed, there is no need for these symptoms to prop up.”
When pressed on whether the union would indeed “down tools” and mobilize a strike if the federal government did not rescind its decision, Osifo states, “Yes! Correct!”
“What we had today is the NAC meeting to bring about the sensitization. After that, we will have the CWC meeting and the NEC meeting. So, it is the responsibility of NEC of TUC to give a date and define the next line of action.”
Osifo also acknowledged that while telecommunications companies are indeed grappling with high operational costs, the TUC believes that a more sustainable solution lies in the government providing the necessary economic stability to lower these costs, rather than simply resorting to tariff hikes.
The proposed increase in telecom tariffs has not only drawn the ire of the TUC but has also sparked concerns among other labor unions and civil society organizations.
THE WHISTLER had earlier reported that the nationwide protest scheduled for February 4 was suspended less than 24 hours before its commencement.
The NLC and FG agreed to halt the action for two weeks to allow further deliberations.
As part of the resolution, the government agreed to establish a ten-man committee, comprising five representatives from each side to review the entire tariff structure.
TUC Threatens Strike, Blames 50% Telecom Tariff Hike On Forex Crisis is first published on The Whistler Newspaper
