The Abuja Electricity Distribution Company (AEDC) has initiated a sweeping retrenchment program, impacting roughly 800 employees, even as Nigerians continue to struggle under escalating inflation, soaring living costs, and unreliable power supply.
The large-scale dismissal, which commenced on Wednesday, November 5, 2025, follows months of internal realignment at the utility corporation, which provides service to the Federal Capital Territory, Kogi, Niger, and Nasarawa States.
Several sources knowledgeable about the development within the company informed our correspondent on Thursday that the management had initially proposed to let go 1,800 workers before reducing the figure to 800 after a series of tense negotiations with the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC).
One of the sources, an AEDC employee, stated that the management had initially intended to sack 1,800 workers but decreased the number to 800 following pressure from the unions, which had first demanded that no employee should be terminated. “The management sought to sack 1,800, but after considerable pressure, they lowered it to 800. The unions initially insisted that nobody should be sacked,” the employee, who requested anonymity to avoid reprisal, disclosed.
“The unions first said nobody should be sacked, but later they purportedly consented to 800. The affected personnel were supposed to begin receiving their letters from Monday, but it was postponed, and then yesterday, the disengaged staff started receiving letters,” another source familiar with the situation uncovered.
A specimen of the disengagement letter, titled “Notification of Disengagement from Service,” reviewed by The PUNCH, dated November 5, 2025, and signed by AEDC’s Chief Human Resources Officer, Adeniyi Adejola, validated that the exercise was part of an “ongoing rightsizing endeavor.” The letter also indicated that all affected staff would receive their due entitlements upon conclusion of an exit clearance process.
The letter read in part: “We regret to advise you that your services are no longer required by the company, effective November 5, 2025. This decision stems from the outcome of the company’s current rightsizing initiative. Please be assured that this decision was made after meticulous deliberation and in conformity with company policy.
“You are kindly required to finalize the Exit Clearance process in your Zone and return any company property in your possession prior to your final exit to your HR Business Partner. Completion of these formalities will be mandatory before the processing of your exit payment. Please note that applicable deductions, including PAYE, check-off dues, outstanding loans, and unretired advances (if any), will be made in accordance with company policy and pertinent statutory provisions. AEDC acknowledges your contributions during your tenure of service and extends best wishes for future success in your endeavors.”
The mass layoff at AEDC underscores the deepening malaise in Nigeria’s power sector, which continues to grapple with low investment, fragile infrastructure, and poor cost recovery despite more than a decade of reforms.
Last year, AEDC’s operational license barely escaped regulatory suspension following disputes over payment defaults and management changes, notably occurring in 2021 and 2023. The company, now under private management, has faced mounting pressure from the Nigerian Electricity Regulatory Commission (NERC) to enhance service provision and curb energy losses.
This fresh wave of job cuts could further tax an already strained workforce and intensify customer dissatisfaction, particularly in Abuja and surrounding states, where residents have long voiced complaints about inadequate electricity supply and unjustified billing.
When contacted, the company’s Head of Customer Experience, Kenechukwu Ofili, confirmed the termination of workers by the power firm. He, however, maintained that it was a standard routine procedure. He added that, “a statement would be issued. The process is underway and is being managed in line with the agreed framework.”
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