Former President Olusegun Obasanjo has disclosed that sweeping reforms he initiated in Nigeria’s labour movement were driven by concerns that the country’s unions had become instruments of foreign intelligence powers during the Cold War.
Obasanjo made the revelation on Wednesday in Abuja while speaking at the 85th birthday celebration and book presentation in honour of a former president of the Nigeria Labour Congress (NLC), Hassan Summonu.
Recounting events that preceded the reforms, Obasanjo said Nigeria’s labour movement was deeply fragmented at the time and heavily influenced by external forces, a situation he described as incompatible with national sovereignty.
According to him, the two dominant labour centres operating in the country were allegedly funded by rival foreign intelligence agencies.
“At that time, Nigeria had two major labour organisations. They were Nigerian in name, but they were not financed by Nigeria,” Obasanjo said.
“That was the reality. One was being financed by the KGB, and the other was being financed by the CIA. And I believe Hassan belonged to the one financed by the KGB.”
Obasanjo said the development compelled him to intervene after assuming office, insisting that Nigeria needed a labour union that was organised, controlled and funded by Nigerians alone.
“I needed a Nigerian labour organisation - organised by Nigeria, headed by Nigeria and financed by Nigeria. So I decided there had to be a labour union reform,” he said.
He explained that Justice Adebiyi was appointed to lead the reform process, which eventually resulted in the unification of organised labour under a single national body - the Nigeria Labour Congress.
According to the former president, the reform was carefully structured to prevent government interference in union leadership, allowing workers to freely elect their representatives within a nationally grounded framework.
“And Hassan was one of those who questioned what I knew about labour and why I was asking for reform,” Obasanjo recalled.
“I may not know anything about labour, but I knew I wanted a Nigerian labour organisation organised by Nigeria and funded by Nigeria. Justice Adebiyi finished his work, labour was reformed without government imposing leaders, and Hassan emerged as the first elected president. I felt comfortable with that outcome.”
Obasanjo said the reforms helped to redefine relations between organised labour and the government, making them more structured and constructive while preserving the independence of unions.
He praised Summonu for his leadership role in consolidating labour unity in Nigeria and expanding its influence across Africa and the global labour movement.
The former president also disclosed that he wrote the foreword to Summonu’s newly launched book, noting that it reflected an honest account of the labour leader’s contributions to national development and democratic engagement.
The event also featured sharp exchanges on contemporary labour issues, particularly Nigeria’s recently enacted tax laws.
Reacting to concerns raised by the current NLC president, Joe Ajaero, over the impact of the new tax regime on minimum wage earners, former NLC president and senator, Adams Oshiomhole, urged labour leaders to move beyond lamentation and confront policies they consider unjust.
“You were agonising that minimum wage workers are being taxed. Do you think crying will stop it?” Oshiomhole asked.
“If it is wrong, fight it. Don’t lament it. Those who benefit from injustice will not give it up willingly - you must fight them.”
He added that one of the enduring lessons from Summonu’s leadership was the importance of labour standing shoulder to shoulder with progressive civil society groups in confronting unjust policies.
The gathering, which brought together past and present labour leaders, politicians, civil society actors and unionists, highlighted the historic and continuing influence of organised labour in Nigeria’s political and socio-economic development, amid ongoing debates over workers’ rights, taxation and governance.

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