Minister of Employment and Labour Relations, Rashid Pelpuo, has urged the Trades Union Congress (TUC) to rescind its ultimatum to government over recently announced utility tariff increases, calling on labour leaders to prioritize dialogue over confrontational tactics.

Dr Pelpuo emphasized that labour negotiations should not be conducted through threats or rigid demands, particularly on issues that require collaboration and compromise.

“That is not how we should conduct negotiations. When concerns arise, we shouldn’t issue ‘do this or else’ statements,” he said, stressing that government remains open to constructive engagement.

“Let’s understand your concerns, determine the challenges, and work together toward a common solution,” the Minister added, appealing to the TUC to return to the negotiation table in good faith. “The nature of our engagement must evolve.”

His comments come in the wake of the TUC’s strong opposition to the Public Utilities Regulatory Commission’s (PURC) decision to increase electricity tariffs by 9.86 percent and water tariffs by 15.92 percent, effective January 1, 2026.

The union has argued that the hikes undermine the 9 percent salary increase secured for workers in 2026, warning that higher utility costs could significantly erode their incomes. It has also threatened nationwide protests if the government fails to reopen discussions.

Dr Pelpuo, however, insisted that sustained dialogue remains the most effective way to address workers’ concerns while ensuring the financial stability of utility companies.