In support of the Nigerian Labour Congress’ strike, the Amalgamated Union of App-based Transporters of Nigeria (AUATON) has ordered its members to stop working. The union president, Comrade Adedamola Adeniran, signed a circular titled Suspension of Services Nationwide.
The circular stressed the need to follow the Labour Congress’ indefinite strike against President Bola Ahmed Tinubu’s economic policies. The NLC strike, slated for Monday, June 3, demands a new minimum salary, the reversal of the power rate from N225/KwH to N65/KwH, and the elimination of electricity use band categories.
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The AUATON memo states: This emphasises the necessity of following the Nigeria Labour Congress (NLC) demand for statewide service suspension. All branches, states, and regions must follow this direction to support the NLC’s statewide strike.
Our leaders should inform their members of this direction and guarantee compliance at all levels. Unity and cooperation are our strengths. The NLC is taking action to solve significant worker challenges and ensure our collective voice is heard. By striking, we show our support for worker rights and welfare.
What are the Demands of Nigeria’s E-hailing Drivers on Strike?
In a report, the union’s General Secretary, Comrade Ayoade Ibrahim, stated that as an NLC affiliate, the union must support the strike. The union officials attended the meeting that overwhelmingly approved the indefinite strike. Drivers countrywide must log off their applications until the strike ends.
He explained that completing the NLC strike’s goals would boost Nigerians’ disposable income, increase ride orders, and provide other advantages.
This move will boost ride orders, CNG availability, fuel pricing, and more for our informal sector union. Members should turn off their applications and stay home until union notice. As the economy struggles, the strike is necessary for our members’ well-being, he added.
How Will NLC Strike Affect E-Hailing Companies?
Since e-hailing companies are having trouble getting rides on their platforms and making more money, this halt order couldn’t have come at a worse time. Many Nigerians are becoming less likely to pay for their services because the economy is bad, and they would rather look for cheaper options.
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Drivers shutting down the applications on Monday may decrease their revenue, which is bad for firms with modest sales. Bolt laid off workers for the second time in two years. Last year, junior and mid-level personnel were laid off, but this year, senior staff were.
Reports said the company’s tough economy prompted cutbacks. “Fuel prices are high, and so are the costs of spare parts on the market,” said the news. Since ride prices can’t cover expenses, drivers will likely quit.
Fewer journeys are completed because individuals need more transportation. Low buying power, inflation, and foreign exchange issues indicate Nigeria’s company collapses.
How long the strike lasts might cost firms hundreds of millions of naira in sales. Uber and Bolt lost almost N100 million in 7 days when 10,000 drivers struck to seek more excellent perks in 2021. The NLC strike impacts more individuals; thus, the loss may be more significant.