Industrial Action Suspended as KEDCO, Labour Unions Reach Breakthrough Agreement
By Yunus Yusuf
Normalcy has returned to the Kano Electricity Distribution Company (KEDCO) following the suspension of an industrial action after what stakeholders described as “productive engagements” and far-reaching resolutions between the company’s management and organised labour.
The development was disclosed in a statement issued on Friday by Sani Bala Sani, Head of Corporate Communications at KEDCO, and made available to newsmen in Kano.
According to the statement, the breakthrough followed sustained negotiations involving the Nigerian Labour Congress (NLC), the Bureau of Public Enterprises (BPE), Future Energies Africa (FEA)—KEDCO’s core investor—and the Kano State Ministry of Power and Renewable Energy.
KEDCO management commended the role played by these institutions, noting that their collaborative and constructive interventions were pivotal in resolving the impasse that had disrupted operations across the company’s service areas.
The statement acknowledged that long-standing challenges—particularly unpaid pension obligations, outstanding emoluments and employee benefits—were inherited after the company’s restructuring, which ushered in Future Energies Africa as the new core investor.
Management said addressing these legacy issues remains a central priority.
“KEDCO has made significant progress and is confident that its current recovery plan and operational trajectory will sustainably resolve these inherited obligations,” the statement said.
Key Agreements Reached
As part of the resolution, KEDCO and the labour unions agreed on the following:
Settlement of Outstanding Arrears:
The company has paid a total of ₦170 million, covering ₦150 million in 13th-month salary (bonus) arrears and ₦20 million in appraisal bonus arrears dating back to 2019 and 2022. Management described the payment as a clear demonstration of its commitment to staff welfare.
2025 Bonus Commitment:
KEDCO has pledged to settle the ₦174 million 2025 13th-month salary arrears in the February 2026 salary cycle, alongside regular monthly salaries.
Expanded Dialogue Framework:
An enlarged meeting involving representatives of the NLC Secretariat, electricity sector labour unions and the KEDCO Board will be convened to address remaining complex issues, with a view to achieving long-term industrial harmony.
Following these agreements, the industrial action was suspended with immediate effect.
All parties also agreed to a no-victimisation clause, guaranteeing that no worker will face reprisals for participating in the action.
KEDCO management expressed appreciation to customers for their patience and understanding during the disruption, assuring them that improved engagement and dispute-resolution mechanisms are being put in place to prevent a recurrence.
“With the suspension of the industrial action, normal operations have fully resumed across all our service areas,” the statement said.
“We remain committed to delivering reliable and efficient electricity supply, strengthening labour relations, and ensuring sustainable operations that benefit all stakeholders.”
