By Uboh-Ekong Treasure
The Nigeria Labour Congress (NLC) has given the Federal Government a seven-day ultimatum to address concerns over the alleged diversion of 40 per cent of worker’s contributions under the Nigeria Social Insurance Trust Fund (NSITF) into national coffers.
In a communique issued after its Central Working Committee meeting on August 13, the union accused the government of breaching the statutes establishing the NSITF by treating workers’ social protection contributions as revenue. NLC President, Comrade Joe Ajaero, described the deductions as deferred wages meant to provide financial protection in cases of injury, disability, or job loss.
“Pension funds are deferred wages, not government revenue,” the communiqué stated, warning that any further interference could provoke widespread industrial action.
The labour body also raised concerns over the absence of a governing board at the National Pension Commission (PenCom), arguing that this gap in leadership increases the risk of mismanagement and political interference in pension administration. It called for urgent corrective action from the authorities to restore compliance with existing laws and safeguard workers’ entitlements.
While the NSITF has yet to respond to the allegations, PenCom has dismissed claims of missing funds, maintaining that the Contributory Pension Scheme remains secure and continues to grow. However, the commission has not specifically addressed the accusations relating to the NSITF.
With the clock now ticking on the NLC’s ultimatum, the standoff could escalate into nationwide strikes if no resolution is reached.
