The Abuja Electricity Distribution Company (AEDC) has laid off about 800 employees in a major downsizing move amid ongoing challenges in Nigeria’s power sector.
The retrenchment, which began on November 5, 2025, marks a key phase in the company’s internal restructuring aimed at tackling revenue shortfalls and operational inefficiencies. AEDC, responsible for supplying electricity to the Federal Capital Territory, Kogi, Niger, and Nasarawa States, has been struggling with rising debts and poor collections.
Sources within the company revealed that management initially planned to dismiss 1,800 workers but reduced the number to 800 after negotiations with the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC).
A sample disengagement letter signed by the Chief Human Resources Officer, Adeniyi Adejola, confirmed the layoffs were part of an “ongoing rightsizing process.” It instructed affected staff to complete clearance procedures and return company property before receiving exit payments.
The development underscores the deepening crisis in Nigeria’s electricity industry, as distribution companies face mounting financial pressure, aging infrastructure, and high consumer debts. Analysts fear the AEDC layoffs could be a sign of more turbulence ahead for the struggling power sector.