NLC backs Osun striking workers, demands release of LG funds

The Nigeria Labour Congress (NLC) has accused the Federal Government of undermining the rule of law over the continued withholding of Osun State local government allocations, demanding their immediate release to end the dispute with striking workers.

The labour union said the failure to release the funds had weakened governance at the grassroots and affected the delivery of essential services, urging the Federal Government to respect court decisions on local government financial autonomy.
The NLC Acting General Secretary, Benson Upah, stated this in a statement issued on Tuesday, November 10, 2026, declaring the congress's support for the striking council workers.
He described the continued withholding of the allocations as unjustified and called on the authorities to release the money without further delay.
“We express solidarity with the striking workers of Osun State in pursuit of the release of the withheld local government funds and urge the Federal Government authorities to release those funds without further delay,” Upah said.
He warned that the dispute had consequences beyond the workers' industrial action, particularly for the administration of local government councils.
“The non-release of these funds has caused considerable damage to governance at the local government council level, with collateral implications,” he stated.
The NLC official questioned the justification for withholding the allocations, alleging that the action was an attempt to demonstrate that the Federal Government was above the law.
“There is no justification whatsoever for the continued seizure of these funds other than to prove the point that the Federal Government is above the law,” he declared.
Upah also criticised what he described as selective obedience to judicial decisions, insisting that government authorities could not choose which court judgments to implement.
“The Federal Government cannot cherry-pick which decisions of courts to obey and which it will not,” he said.
He cautioned against the use of intimidation and pressure in resolving disputes in a democratic society, stressing that respect for the rule of law should guide the government's actions.
“However, we do not need this level of intimidation or arm-twisting in a democracy,” he added.
The congress also praised the Osun workers for maintaining a peaceful approach to their industrial action, urging them not to resort to violence or actions that could escalate the dispute.
“We commend the Osun workers for conducting themselves with utmost decorum in prosecuting this action, and we urge them to keep it so, always peaceful,” Upah said.
The dispute over Osun local government allocations is linked to the political and legal crisis surrounding control of the councils following the local government elections conducted in February 2025.
Disagreements over the validity of the elections and the tenure of elected council officials created competing claims over which administration was legally entitled to control the councils and receive their allocations.
The controversy has also renewed debate over local government financial autonomy following the Supreme Court's July 2024 judgment affirming the financial independence of councils and directing that allocations be paid directly to democratically elected local governments.
The NLC's intervention comes amid continued labour pressure for the release of the funds, with the union warning that the dispute is damaging grassroots administration and public service delivery in Osun State.