Aviation Agencies Losing N25bn as Airlines Withhold Passenger Charges, Union Alleges

The National Union of Air Transport Employees (NUATE) has raised concerns over the alleged non-remittance of about N25 billion in Ticket Sales Charges (TSC) by airline operators, warning that the…

Sulaiman Umar August 13, 2026  ·  12:00 AM
| 15 Views
Aviation Agencies Losing N25bn as Airlines Withhold Passenger Charges, Union Alleges
Aviation Agencies Losing N25bn as Airlines Withhold Passenger Charges, Union Alleges

The National Union of Air Transport Employees (NUATE) has raised concerns over the alleged non-remittance of about N25 billion in Ticket Sales Charges (TSC) by airline operators, warning that the development is placing severe financial strain on aviation agencies and threatening the sustainability of the industry.

Speaking in Abuja on Thursday, NUATE Chairman in the Federal Capital Territory (FCT), Ahmed Yusuf, said the unremitted funds represent statutory deductions collected from passengers during ticket purchases and meant to be shared among key aviation agencies responsible for regulating and managing the sector.

According to him, the failure of some airlines to transfer the funds has deprived government aviation agencies of critical revenue needed to maintain operations, improve services and cater for workers’ welfare.

Yusuf explained that the Ticket Sales Charge, which accounts for five per cent of the cost of every airline ticket, serves as an important source of funding for aviation institutions.

He warned that the continued withholding of the funds could weaken the capacity of aviation agencies to effectively discharge their responsibilities.

“With about N25 billion yet to be remitted, the question is how these agencies are expected to remain sustainable and continue meeting their obligations to workers and the travelling public,” he said.

The union leader noted that aviation agencies depend on such revenues to finance day-to-day operations, maintain infrastructure, provide safety oversight and meet personnel costs.

His comments come in the wake of a recent industrial dispute that disrupted flight operations across parts of the country.

Yusuf said the action, jointly organised by NUATE and the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN), was temporarily suspended after interventions aimed at resolving the issues in contention.

The labour action led to disruptions at several airports, with union members blocking access to some terminals, forcing airlines to cancel flights and leaving passengers stranded.

Beyond the issue of unremitted charges, Yusuf said the unions were also protesting what they described as restrictions on workers’ rights within parts of the aviation industry.

He accused Air Peace of resisting efforts by employees to join labour unions, arguing that workers have a constitutional right to freedom of association and collective representation.

Advertisement

NRS Gateway

According to him, employers and airline operators already enjoy the benefits of organised platforms through which they pursue common interests, and workers should not be denied similar opportunities.

The union maintained that its campaign is focused on protecting workers’ rights, promoting fair labour practices and ensuring accountability in the management of aviation-sector revenues.

Meanwhile, aviation regulators have continued efforts to calm tensions and restore industrial harmony.

The Nigeria Civil Aviation Authority (NCAA) had earlier appealed to the unions to suspend the action and embrace dialogue while negotiations continue.

Director-General of the NCAA, Capt. Chris Najomo, said the Minister of Aviation and Aerospace Development, Festus Keyamo, was actively engaging stakeholders to resolve the dispute.

Najomo expressed concern over the impact of the disruptions on passengers and the wider aviation industry, noting that an earlier meeting called by the minister failed to hold after airline operators reportedly did not attend.

Despite the industrial tensions, the NCAA reassured travellers that flight safety had not been compromised and that regulatory oversight activities were continuing as required.

The authority also urged all parties involved to prioritise dialogue and cooperation in order to achieve a lasting resolution.

Similarly, the Federal Airports Authority of Nigeria (FAAN) said airport operations remained functional throughout the dispute and pledged to continue working with airlines, aviation agencies, security organisations and labour groups to minimise disruptions.

FAAN reaffirmed its support for ongoing mediation efforts and expressed confidence that stakeholders would find common ground to resolve the issues affecting the sector.

The controversy over the unremitted N25 billion has once again highlighted concerns about revenue management within Nigeria’s aviation industry, with labour leaders warning that failure to address the matter could have long-term consequences for both workers and critical aviation institutions.

Written by

Sulaiman Umar

Sulaiman Umar is an editor and reporter with extensive experience in economic journalism, analyzing financial and agricultural developments in Northern Nigeria.

Comments (0)

No comments yet. Be the first to share your thoughts!

Leave a Comment

What is 5 + 5?