Abuja Electricity Firm AEDC Lays Off 800 Workers Amid Power Sector Crisis
The Abuja Electricity Distribution Company (AEDC) has embarked on a large-scale retrenchment exercise, cutting about 800 jobs in a significant layoff in the power sector in recent years.
The exercise, which began on Wednesday, November 5, 2025, marks a major phase in the company’s ongoing internal restructuring.
AEDC, which supplies electricity to the Federal Capital Territory, Kogi, Niger, and Nasarawa States, has been grappling with operational inefficiencies and revenue shortfalls.
According to PUNCH, multiple sources within the company confirmed that the management had initially planned to dismiss 1,800 employees before scaling the figure down to 800 following intense negotiations with the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC).
One of the affected workers disclosed, “management wanted to sack 1800, but after much pressure, they brought it down to 800. The unions initially insisted that nobody should be sacked,” the employee, who pleaded not to be named in order not to be victimised, stated.
Another insider added, “The unions first said nobody should be sacked, but later they allegedly agreed to 800. The affected staff were supposed to start receiving their letters from Monday, but it was delayed, and then yesterday, the affected staff started receiving letters.”
A sample of the disengagement letter titled “Notification of Disengagement from Service”, and dated November 5, 2025, was signed by AEDC’s Chief Human Resources Officer, Adeniyi Adejola. It confirmed that the retrenchment was part of an “ongoing rightsizing process.”
The letter read in part, “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. Please be assured that this decision was made after careful consideration and in accordance with company policy.
“You are kindly required to complete the Exit Clearance process in your Zone and return any company property in your possession before your final exit to your HR Business Partner. Completion of these formalities will be required 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 relevant statutory provisions.
“AED acknowledges your contributions during your period of service and extends best wishes for success in your future endeavours.”
The layoffs highlight the worsening challenges in Nigeria’s electricity industry, where dwindling revenue, regulatory uncertainty, and infrastructure deficits have forced several distribution companies into restructuring or downsizing.
Analysts warn that the AEDC retrenchment could signal deeper trouble for the sector, as companies struggle to balance costs amid rising operational losses and unpaid consumer debts.
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