Explainer: Why Are Nigeria’s Aviation Unions Threatening Industrial Actions?

Nigeria’s aviation sector faces a possible industrial dispute after two major aviation unions issued a seven-day ultimatum threatening to shut down airline operations over the alleged non-remittance of statutory Ticket Sales Charges (TSC).

The Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and the National Union of Air Transport Employees (NUATE) expressed that several airlines and aviation organisations have continued to deduct the mandatory 5% Ticket Sales Charge from passengers without remitting the funds to the Nigeria Civil Aviation Authority (NCAA), despite an earlier 14-day ultimatum that expired in July.

The unions say the failure to remit these funds has left aviation agencies underfunded, jeopardising workers’ welfare and compromising aviation safety. Airline operators, however, reject the accusations and have warned the unions against disrupting flight operations, describing the planned action as misguided and potentially harmful to the travellers.

What is the Ticket Sales Charge?

The Ticket Sales Charge is a statutory 5% levy added to every airline ticket sold in Nigeria. Airlines collect the charge from passengers and are expected to remit it to the Nigeria Civil Aviation Authority (NCAA), which then distributes the revenue among aviation agencies responsible for regulating the industry and maintaining operational standards.

According to the unions, these funds are essential to financing regulatory activities, maintaining safety oversight, and supporting the welfare of workers across the aviation sector. They allege that while airlines continue to collect the levy from passengers, several operators have failed to transfer the money to the appropriate authorities as required by law.

The unions also noted that the Airline Operators of Nigeria (AON) had previously collected the charges on behalf of aviation authorities before discontinuing the arrangement.

Why Are The Unions Threatening Industrial Action?

ATSSSAN and NUATE argue that the continued non-remittance of Ticket Sales Charges has weakened the financial capacity of aviation agencies, leaving them without the resources needed to carry out their statutory responsibilities.

In a joint statement, the unions said the earlier 14-day ultimatum issued in July expired without meaningful compliance from the affected operators. They warned that the persistent shortfall not only affects workers’ conditions of service but also poses broader security and safety risks.

The unions maintain that underfunded regulators cannot effectively oversee airline operations or maintain aviation safety standards. They have therefore given all defaulting organisations a final seven days to settle their obligations, warning that failure to comply will result in picketing and disruption of airline operations nationwide.

Why Are The Airlines Pushing Back?

The Airline Operators of Nigeria (AON) has strongly rejected the unions’ position, arguing that it has no direct transactional relationship with them on the issue of Ticket Sales Charges.

Responding to the ultimatum, the association said the unions were acting on misinformation and urged them to seek clarification from the NCAA before embarking on any action capable of disrupting flights.

The airline operators also warned that industrial action would primarily hurt passengers rather than resolve the dispute. They argued that Nigerian airlines are already operating under severe financial pressure, citing high aviation fuel prices and what they describe as some of the highest aviation charges in the world.

According to the AON, any outstanding regulatory issues are being discussed directly with the NCAA through established industry channels, making the unions’ intervention unnecessary. The association further warned that anyone who disrupts flight operations over the dispute would be held responsible for the consequences.

What Happens Next?

For now, the dispute remains unresolved. The unions insist they will proceed with industrial action if the outstanding Ticket Sales Charges are not remitted within the latest seven-day deadline. At the same time, the airlines maintain that flight operations should not become collateral damage in a disagreement over regulatory payments.

If neither side backs down, the passengers are likely to face flight disruptions and delays. More broadly, the standoff highlights a deeper concern within Nigeria’s aviation industry: the tension between airlines struggling with rising operating costs and aviation agencies that rely on statutory levies to fund regulation, safety oversight and the day-to-day functioning of the country’s air transport system.