Beyond the Suspended Aviation Unions Strike: Implications for Industry Stability

Air Peace, other domestic airlines count losses over cancelled flights, stranded passengers groan over missed appointments 

As aviation unions granted temporary suspension of their industrial action across major Nigerian airports allowing domestic airlines to resume operations, a fragile calm returned to the country’s aviation sector.

However, the incident has left airlines to grapple with financial losses over grounded flights, exposing deep fault lines within the industry, stakeholders have noted.

In a dramatic but tense eight-hour picketing that brought air travel across the country to a near halt on Tuesday, August 11, aviation unions barricaded access to Air Peace airline’s departure terminals at Murtala Muhammed International Airport in Lagos and Nnamdi Azikiwe International Airport in Abuja.

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), backed by the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC), began picketing the airline in the early hours of Tuesday.

In a statement released on Tuesday, Air Peace management said the entrances to its departure terminals at Murtala Muhammed Airport Terminal 1 (Alpha and Zulu Terminals) and Terminal 2 in Lagos, as well as the Nnamdi Azikiwe International Airport Terminal in Abuja were blocked.

“Consequently, passengers scheduled to travel across our network have been significantly affected by the disruption to flight operations,” the airline had stated.

The Cause of Dispute

The unions cited two primary grievances: the alleged non-remittance of a five percent Ticket Sales Charge (TSC) and Cargo Sales Charges allegedly owed to the Nigerian Civil Aviation Authority (NCAA), and accusations that Air Peace blocked its workers from joining trade unions.

The ticket sale charge is a statutory levy collected by airlines on behalf of aviation agencies. It is shared among the agencies including the Nigeria Civil Aviation Authority (NCAA), the Nigerian Airspace Management Agency (NAMA), the Nigeria Meteorological Agency (NiMet), the College of Aviation Technology (NCAT) and the Nigerian Safety Investigation Bureau (NSIB).

The unions claimed that Air Peace alone owed aviation agencies about N15 billion in TSC, and accused the airline of frustrating its workers’ efforts to join trade unions.

Trade Union Congress (TUC) President Festus Osifo backed the action, insisting that approximately N25 billion in statutory charges remain unpaid. However, the Airline Operators of Nigeria (AON) countered that the airlines have no direct transactional relationship with the unions regarding TSC remittances, arguing that the strike was rooted in misinformation.

The timing has proven controversial. The NCAA had previously confirmed that an agreed payment schedule was already in place with the airlines to offset debts accumulated during the fuel price spike of the US-Iran conflict, when jet fuel prices skyrocketed from ₦900 to ₦3,500 per litre. 

According to the NCAA, a meeting convened by Minister of Aviation and Aerospace Development Festus Keyamo to resolve the dispute failed to hold the previous week. It blamed airline operators for not attending.

On the accusation of blocking employees from joining unions, Air Peace members of staff staged a protest on Tuesday, distancing themselves from the picketing, 

The Air Peace workers, who were seen in a video shared on social media, said they were satisfied with the current management approach and believed their interests were adequately protected.

They rejected what they seemed as forceful conscription into the unions.

Spokesman of the workers, Comrade Aminu Suleiman, Air Peace said the employees have had direct engagement with management for 12 years and see no need for union membership. He cited regular salaries, HMO benefits, and constitutional rights, noting that Section 40 of the 1999 Constitution and Section 12 of the TUC constitution make union membership voluntary. The workers accused unions of creating division for their own benefit and urged the public not to link Air Peace to the action.

Some reports claimed that an Air Peace driver allegedly used a bus to block some parts of the Lagos airport runway while picketing of their terminals was going on.

While the NCAA said it has issued a directive for the arrest of the suspected driver, Air Peace spokesperson, Efe Osifo-Whiskey, dismissed the allegation, saying the vehicle did not block the runway. 

Meanwhile, ATSSAN general secretary, Comrade Frances Akinjole, has defended the unions’ actions, saying their  picketing was suspended to allow for further dialogue with the Ministry of Aviation and Aerospace Development.

While the unions have temporarily shelved their industrial action, the losses are already counted in billions, raising serious questions about the stability of an industry already grappling with soaring operational costs.

A Billion-Naira Shutdown

Industry analysts estimate that the disruption resulted in direct revenue losses of between N1.8 billion and N2 billion for domestic airlines alone, excluding the cascading economic impact on ground handling companies, hotels, and travel agencies that rely on regular air traffic.

By targeting the country’s largest carrier, Air Peace, the unions effectively grounded the backbone of domestic aviation. Air Peace, which operates over 100 flights and airlifts about 8,000 passengers daily, was said to have canceled more than 50 per cent of its flights on Tuesday. 

With Air Peace accounting for an estimated 40 per cent  per cent of airline daily revenue,  the disruption was significant in terms of financial losses incurred by domestic airlines.

While the aviation unions initially targeted Air Peace, the disruption rippled outward. United Nigeria Airlines, in solidarity with Air Peace, suspended operations, cancelling about 32 flights and losing an estimated N492 million in gross revenue. Enugu Air also grounded its operations. 

Amid all these, passengers were left stranded, with flights fully booked across the network as travelers scrambled for alternatives.

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On social media, the airlines received doses of complaints and criticisms as stranded passengers who have booked flights expressed their frustration over the development.

Legal and Regulatory Concerns

The industrial action has drawn sharp criticisms from aviation stakeholders, who warn that the tactics employed by unions threaten to erode public confidence in the Nigerian aviation sector. 

The Aviation Safety Round Table Initiative (ASRTI) condemned the disruption, describing it as “disruptive and selectively targeted,” arguing that the unions overstepped their bounds.

“The enforcement of statutory penalties and the recovery of debts owed to regulatory agencies remain the exclusive statutory mandate of the Federal Government and its empowered institutions,” ASRTI stated in a statement released on Tuesday made available to Pinnacle Daily.

The group highlighted serious legal concerns, citing Section 29 of the Civil Aviation Act, which designates airport services as essential and prohibits strikes or blockades within aerodromes. Additionally, Section 18 of the Trade Disputes Act restricts industrial action while disputes are undergoing official mediation.

The group expressed concerns about singling out only Air Peace for the disruption, arguing that the action was not fair as the issue involved other domestic airlines.

“Singling out Air Peace Airline for disruptive picketing shows clear bias from a group that claims to preach fairness,” ASRTI stated.

The group warned that airport terminals should not be used as venues for protests over internal issues bordering on corporate administration, stressing that it would likely lead to  flight disruptions that could affect passengers and other businesses.

On the recovery of debts owed by airlines, the Aviation Safety Round Initiative stated that the regulatory agencies have established legal and administrative mechanisms for doing so, not unions disrupting operations of airlines to enforce remittances.

A Sector at a Crossroads

As airlines scramble to clear passenger backlogs following the resumption of flights, the prospect of future industrial action looms large. Union leaders suspended the picketing around 2 p.m. Tuesday only to “review their action,” leaving the threat of a future escalation on the table.

For passengers who lost not only time but critical opportunities, the human cost of the disruption is immeasurable.

The current suspension offers a window for dialogue, but without a resolution to the underlying disputes over unionization rights and the enforcement of statutory charges, the stability of Nigeria’s aviation industry remains fragile. As one union official noted, “If you try to placate the issues without resolving them, and we call off the strike today, tomorrow there will be another strike again.”