Maritime Workers Threaten Strike Over Proposed NPA Revenue Reduction

Maritime workers in Nigeria have issued a stern warning of a potential nationwide strike if the federal government proceeds with its plan to automatically deduct 50 per cent from the revenue earned by the Nigerian Ports Authority (NPA).

In a joint statement released in Lagos, the Senior Staff Association of Statutory Corporations and Government-Owned Companies (SSASCGOC) and the Maritime Workers Union of Nigeria (MWUN) expressed deep concern over the proposed deduction.

The statement, signed by the presidents of both unions, Mr. Akinola Bodunde and Mr. Adewale Adeyanju, respectively, emphasized that they have already communicated their grievances to the President.

The unions underscored that if the decision is not reversed, it would lead to the withdrawal of workers and a complete shutdown of ports across the country.

They proposed a 30 per cent deduction from NPA’s revenue instead of the proposed 50 per cent, stating that a 50 per cent deduction would severely hamper the NPA’s ability to fulfill its responsibilities to host communities and undertake essential operational tasks.

Mr. Akinola Bodunde, speaking on behalf of the union, highlighted the significant financial implications of the proposed deduction on the operational capabilities of the NPA. He emphasized that such a reduction would jeopardize crucial maritime operations, including dredging port channels and maintaining infrastructure, ultimately impacting vessel traffic and port activities.

Mr. Adewale Adeyanju, President General of MWUN, emphasized the importance of a well-trained workforce for efficient port operations and voiced concerns that the proposed revenue reduction could impede investment in employee training and welfare, leading to unrest and social upheaval in host communities.

The unions issued an ultimatum to the government, demanding a revision of the directive to allow for a more reasonable deduction from internally generated revenue.

The backdrop to this dispute stems from a circular issued by the Federal Ministry of Finance, dated December 28, 2023, which instructed federal agencies/parastatals to remit a portion of their internally generated revenue (IGR) to the Treasury Single Account (TSA).

Partially funded agencies like the NPA are expected to remit 50 per cent of their IGR to the federation account, alongside remitting all statutory revenues.

While the initiative aims to enhance revenue generation and financial transparency, maritime workers fear its adverse effects on essential port operations and workforce welfare.