The study examined the negative impact of industrial action on socio-economic development in Nigeria from 200 - 2010. In doing this, the overall goal of this study was to evaluate the negative impact of industrial action on socio-economic development in Nigeria with view to providing the way forward. The study adopted qualitative approach of analysis using data from primary and secondary sources. The data obtained were analysed using content analysis. During the course of research it was found that the extent to which industrial action impacted negatively on socio-economic development and the root of it in Nigeria. These causes were wage and welfare, poor working condition, lack adequate application of provision of collective bargaining and poor industrial relations amongst others. While, some effects of industrial action are pronounce in economy, education, health and security amongst others. Some challenges militating against achieving stable impact of industrial action on socio-economic development in Nigeria were identified. They include lack of adequate labour laws, inadequate conflict management, lack of political will and rivalry between the stakeholders. To overcome theses challenges the study proffered some strategies. These strategies include negotiation, alternative negotiation process and establishment of labour dispute board among others.