13 Factors Affecting Labour Force in Nigeria and Solutions

Nigeria has a sizable labour force that is essential to the development of the economy of the nation due to our large population and plenty of natural resources.

Nevertheless, a number of factors can impact the labor force’s productivity. This article will examine 13 factors that have an impact on the labour force in Nigeria and offer some feasible solutions.

Factors Affecting Labour Force in Nigeria and Solutions

Economic Instability

Nigeria’s economy has a track record of incessant fluctuations in the international markets— the price of oil, and domestic variables like inflation and exchange rates. 

This instability in the economy can have a detrimental impact on the labor force by causing job losses, decreased investment, and firm closures.

Our government should concentrate on expanding non-oil industries, diversifying the economy, and stabilizing the market in order to overcome this problem.

Inadequate Education and Skills

Nigeria’s education and skill-training systems require development. Many people are not equipped with the knowledge and credentials needed to compete in the labor market.

This skills gap can be closed which will also increase the competitiveness of the labor market, by improving the educational system, making investments in vocational training programs, and encouraging lifelong learning.

Related: 15 Problems Affecting Education in Nigeria and Solutions

Rapid Population Growth

Nigeria has one of the higher rates of population increase worldwide at over 2.7%. It is difficult to offer enough employment possibilities due to the labor market being under pressure from the population’s rapid growth.

The labor force can be managed more skillfully by putting in place efficient family planning programs and encouraging measures for sustainable population growth.


Unemployment is still a major problem in Nigeria. High unemployment rates are a result of the skill gap between available jobs and the labor force. 

Reducing unemployment and giving the labour force access to economic possibilities can be accomplished by encouraging job creation through private sector expansion, encouraging entrepreneurship, and building a supportive business climate.


In Nigeria, income disparity is a serious problem that has an impact on the labor force. Inequalities in job prospects and pay are caused by the unequal distribution of wealth and resources.

This imbalance can be addressed, and a more balanced labor force can be produced, by putting policies into place that encourage inclusive growth, lower poverty, and improve social support systems.


In Nigeria, corruption hinders employment growth and the economy. It promotes inefficiency, discourages investment, and establishes an unfair business climate.

A more favorable climate for the workforce can be created by stepping up anti-corruption efforts, fostering openness, and enhancing governance.

Infrastructure Deficiencies

The Nigerian labor force has substantial obstacles due to inadequate infrastructure, including dependable power supplies, transportation networks, and communication systems. Inadequate infrastructure restricts productivity, drives up expenses, and prevents corporate expansion. 

These flaws can be fixed, and the labor force’s effectiveness increased, by investing in infrastructure development and providing a supportive climate for public-private partnerships.

Gender Inequality

A significant problem affecting Nigeria’s labor force is gender inequality. Although it is significantly getting better, women historically have fewer prospects for education, employment, and fair pay.

The participation and contribution of women in the labour force can be increased by promoting gender equality through policies that support female emancipation, equal opportunity, and the abolition of discriminatory behaviors.

Healthcare Challenges

The productivity and well-being of the labor force are impacted by healthcare issues such as inadequate healthcare facilities, a high disease prevalence, and limited access to high-quality healthcare.

The general well-being of the labor force and increased productivity can be achieved through bolstering the healthcare system, raising expenditures, and promoting preventive healthcare practices.

Related: 12 Problems Affecting School Health Care Programs and Solutions

Brain Drain

The term “brain drain” refers to highly skilled persons leaving Nigeria in search of better chances overseas. This occurrence deprives the nation of priceless human resources.

Brain drain can be reduced and talent can be kept in the nation by creating an atmosphere that encourages competent employees to stay in Nigeria, such as by paying competitive salaries, enabling possibilities for career advancement, and improving working conditions.

Lack of Entrepreneurial Opportunities

The work force’s potential to generate jobs and support economic growth is hampered by the lack of entrepreneurial opportunities. 

Facilitating entrepreneurship through easier access to capital, assistance with business growth, and reduced regulatory procedures can boost creativity, launch new ventures, and create jobs.

Related: 10 Political Factors Affecting Businesses in Nigeria and Solutions

Technological Advancements

Automation and artificial intelligence are two examples of how technology is revolutionizing industries and altering the nature of labor.

To stay relevant, Nigeria’s labor force must adjust to these changes and learn digital skills. The workforce can be made future-ready by promoting digital literacy, making investments in technology infrastructure, and encouraging an innovative culture.

Political Instability

Political unrest has a detrimental effect on the labor force by discouraging investment, causing disruptions in corporate operations, and heightening uncertainty.

Creating a stable political environment, bolstering institutions, and enhancing security can promote economic expansion and employment creation.

Related: 10 Importance of Democracy in Nigeria


Numerous issues that Nigeria’s workforce faces have an impact on its productivity and capacity for economic progress. For the labour force to thrive, it is essential to address issues like economic instability, poor education, unemployment, corruption, and infrastructure shortcomings.

Nigeria can unleash the full potential of its labor force and pave the way for sustainable development by putting the recommended policies and solutions into practice.

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