The Abuja Electricity Distribution Company (AEDC) has commenced a mass retrenchment exercise affecting about 800 employees, even as Nigerians continue to grapple with soaring inflation, escalating living costs, and erratic power supply.
The layoffs, which began on Wednesday, November 5, 2025, are part of an ongoing rightsizing and internal restructuring programme within the utility firm, which serves the Federal Capital Territory (FCT), Kogi, Niger, and Nasarawa states.
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According to reports, AEDC had initially proposed to disengage 1,800 workers, but the number was reduced to 800 after intense negotiations with the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC).
A sample of the letter, titled “Notification of Disengagement from Service” and dated November 5, 2025, signed by AEDC’s Chief Human Resources Officer, Adeniyi Adejola, confirmed that the move was part of the company’s “ongoing rightsizing process.”
The letter stated that affected staff would be paid all due entitlements after completing the exit clearance procedure.
“We regret to inform you that your services with the company will no longer be required, effective 5th November 2025. This decision follows the outcome of the company’s ongoing rightsizing exercise,” the letter read in part.
“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 relevant statutory provisions. AEDC acknowledges your contributions during your period of service and extends best wishes for success in your future endeavours.”
The development highlights the growing instability in Nigeria’s power sector, which has continued to struggle with low investment, ageing infrastructure, and poor cost recovery despite over a decade of privatisation and reforms.
AEDC has faced repeated regulatory and financial challenges in recent years. In 2023, its operational licence narrowly escaped suspension by the Nigerian Electricity Regulatory Commission (NERC) over payment defaults and management disputes.
Analysts warn that the new round of job cuts could strain AEDC’s already stretched workforce and worsen customer dissatisfaction, especially in Abuja and neighbouring states, where residents frequently complain about poor electricity supply and arbitrary billing.