The Abuja Electricity Distribution Company (AEDC) has initiated a substantial retrenchment exercise, resulting in the termination of approximately 800 jobs. This significant layoff, which commenced on Wednesday, November 5, 2025, marks a critical phase in the company's ongoing internal restructuring efforts. It represents one of the largest job cuts witnessed in Nigeria's power sector in recent years.

Initially, AEDC management had planned a larger dismissal of 1,800 employees. However, following intense negotiations with prominent labor unions, including the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC), the figure was scaled down to 800. Multiple sources within the company confirmed these discussions, with one affected worker revealing, "management wanted to sack 1800, but after much pressure, they brought it down to 800. The unions initially insisted that nobody should be sacked." Another insider corroborated, stating, "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."

AEDC, responsible for electricity supply to the Federal Capital Territory, Kogi, Niger, and Nasarawa States, has been contending with severe operational inefficiencies and persistent revenue shortfalls. This retrenchment is explicitly framed as part of an "ongoing rightsizing process" aimed at addressing these challenges. The layoffs underscore the worsening conditions prevalent across Nigeria's electricity industry, which is plagued by dwindling revenue, regulatory uncertainty, and substantial infrastructure deficits, compelling several distribution companies to undertake similar restructuring or downsizing measures.

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. The letter formally informed recipients that their services would no longer be required, effective November 5, 2025, citing the outcome of the company’s "ongoing rightsizing exercise." It assured that the decision was made after careful consideration and in accordance with company policy. Affected employees, including both managerial and junior staff, are required to complete an Exit Clearance process in their respective zones and return all company property. The completion of these formalities is a prerequisite for the processing of exit payments, from which applicable deductions, such as PAYE, check-off dues, outstanding loans, and unretired advances, will be made. Compensation has been promised to those affected by the mass sack.

The company acknowledged the contributions of its departing staff during their period of service and extended best wishes for their future endeavours. These widespread layoffs not only affect a significant number of individuals but also serve as a stark indicator of the deep-seated economic and structural issues facing Nigeria's vital power sector.