The Domestic Airports Cargo Agents Association (DACAA) has estimated that Nigeria lost about N7 billion during the two-day nationwide strike by the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC).
Impact of the Strike
In an interview on Friday in Lagos, Ikpe Nkanang, Chairman of the Board of Trustees of DACAA, attributed the significant financial loss to the strike. He highlighted that approximately 30 tonnes of cargo are typically transported daily across the country’s domestic airports.
Nkanang explained that the volume of cargo that accumulated during the two-day strike was substantial. Many cargoes had been prepared for shipment on Monday morning before the strike commenced. The interruption caused a massive backlog and financial loss.
Economic Ramifications
“For those two days, the airlines were not working, and once the airlines are not working, cargoes cannot move. It is a great loss to all of us. The volume of cargoes that was dumped over those two days was significant. We gathered cargoes during the weekend, hoping to send them out by Monday and Tuesday,” Nkanang said.
He emphasized that the strike resulted in a colossal loss for the cargo industry and adversely affected the country’s economy. He estimated that the country lost about N7 billion across all local airports during the strike.
Cost of Cargo Transportation
According to Nkanang, transporting a kilogram of cargo costs N300. He urged the Federal Government to reach an agreement with organized labor to prevent further strikes and economic disruptions.
Suspension of the Strike
The labor unions suspended the strike on Tuesday afternoon to facilitate continued negotiations on a new minimum wage. During the strike, airport operations were grounded as aviation unions blocked all access points to domestic terminals.
Why It Matters
The NLC and TUC strike has been criticized for causing significant economic losses, with an estimated N7 billion lost over two days. This situation underscores the critical role of labor unions in the economy and highlights the need for the government to prioritize negotiations with these unions. The substantial financial impact of the strike reflects the interconnectedness of labor actions and economic stability.
Bottom Line
The two-day strike by the NLC and TUC resulted in significant financial losses for Nigeria, particularly in the cargo transport sector. This incident highlights the importance of timely and effective negotiations between the government and labor unions to prevent economic disruptions. Ensuring smooth operations in critical sectors like aviation is essential for maintaining economic stability and growth.
