The Nigeria Labour Congress (NLC) has accused the federal government of diverting 40 per cent of workers’ contributions from the Nigeria Social Insurance Trust Fund (NSITF) into the national treasury, in what it described as a “flagrant violation” of the law establishing the fund.
The allegation was contained in a communiqué issued after the Central Working Committee (CWC) meeting on August 13, signed by NLC President Joe Ajaero. “The NSITF must account for and return all diverted funds within seven working days from today. If at the end of these seven working days nothing is done, the NLC will no longer guarantee industrial peace in the sector,” the union warned.
The NLC said the diversion was a direct assault on workers’ social protection rights. “The CWC expressed outrage at the ongoing assault on workers’ social protection rights through the federal government’s diversion of 40 per cent of workers’ contributions to the national coffers as ‘revenue,’ in flagrant violation of the statutes establishing the NSITF,” it stated.
It further condemned what it described as “false claims of ownership of the NLC national headquarters, cyber and media bullying of trade unions, and covert moves to amend the NSITF Act in a manner that would disenfranchise workers and hand the government full control over the funds.”
The NLC also demanded immediate constitution of the governing board of the National Pension Commission (PENCOM). “The CWC noted with grave concern the non-constitution of the governing board of the National Pension Commission, in contravention of the PENCOM Act and other statutes. This unlawful vacuum has allowed the government to solely superintend over the pension funds contributed by workers and employers, stripping away the statutory tripartite oversight and increasing the risk of mismanagement and political interference,” the communiqué said.
The union stressed that pension funds were “deferred wages, not state revenue,” and insisted that government must immediately comply with statutory provisions. It also ratified the dissolution of its Edo State council, replacing it with a caretaker committee, and warned that strict compliance with its constitution would be enforced nationwide with zero tolerance for indiscipline.
