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Airlines Lose Over N1bn as Labour Strike Grounds More Than 80 Flights

By Isaac Mission

 

Nigerian airlines suffered losses estimated at more than N1 billion on Tuesday after aviation unions shut down operations, forcing the cancellation of over 80 flights and leaving thousands of passengers stranded at major airports.

Air Peace, United Nigeria Airlines and Enugu Air were among the carriers affected by the industrial action, which began in the early hours of Tuesday after aviation unions moved to enforce their demands.

The action involved the National Union of Air Transport Employees (NUATE), Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and National Association of Aircraft Pilots and Engineers (NAAPE), with backing from the Nigerian Labour Congress (NLC) and Trade Union Congress (TUC).

The unions accused Air Peace of allegedly preventing workers from joining unions and also raised concerns over the non-remittance of statutory charges to the Nigeria Civil Aviation Authority (NCAA).

The dispute centres largely on the five per cent Ticket Sales Charge (TSC), as well as Cargo Sales Charge and Charter Sales Charge, which airlines are expected to remit to the NCAA.

The unions claimed that some airlines had failed to remit the deductions, arguing that the situation had affected the finances of aviation agencies and hindered the implementation of agreements reached on behalf of workers.

The unions had earlier issued a notice of picketing on August 4, followed by a three-day strike ultimatum. This came after previous notices issued on July 28 and earlier in the dispute.

The shutdown disrupted flight operations across major airports, with passengers forced to wait for updates while airlines cancelled or suspended scheduled services.

Reacting to the development, NCAA Director-General, Captain Chris Najomo, appealed to the unions to suspend the industrial action and return to the negotiating table.

Najomo said the Minister of Aviation and Aerospace Development, Festus Keyamo, was already working towards resolving the dispute. The NCAA also faulted the affected airlines for allegedly failing to attend a meeting convened by the minister the previous week.

The Airline Operators of Nigeria (AON), however, rejected the unions’ position, arguing that airlines do not have a direct transactional relationship with the unions regarding TSC remittances.

The operators’ body described the action as being based on misinformation and stressed that domestic airlines were already facing significant financial pressure from high aviation fuel prices and multiple regulatory charges.

Meanwhile, the Aviation Safety Round Table Initiative (ASRTI) criticised the industrial action, particularly the decision to target Air Peace.

The group argued that the recovery of statutory charges owed to government agencies should be handled by the appropriate regulatory authorities rather than through industrial disruption.

ASRTI also warned that prolonged disruptions at airports could damage public confidence in Nigeria’s aviation industry and create a negative impression among investors and international travellers.

The group urged the unions to pursue their grievances through lawful dispute-resolution mechanisms while calling for an end to picketing and other actions capable of disrupting aviation operations.

The strike has once again highlighted the financial and operational challenges facing Nigeria’s domestic aviation industry, with stakeholders expected to intensify efforts to resolve the dispute and prevent further disruption to air travel.

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