Gbenga Ilemobayo
The Nigeria Employers’ Consultative Association and Organised Labour have rejected the proposed amendments to the Nigeria Social Insurance Trust Fund Act, describing the bill as inconsistent with international standards and detrimental to sustainable governance of the Fund.
At the Senate public hearing held on Monday, representatives of Organised Labour, led by the President of the Nigeria Labour Congress, alongside NECA, expressed their strong opposition to the bill.
Both parties called for the immediate withdrawal of the proposed amendments and the commencement of a tripartite consultation process involving government, employers, and workers — as is the international best practice.
Speaking at the hearing, the two organisations emphasized that the proposed amendments do not strengthen the NSITF as intended.
Instead, they warned that the changes could expose the Fund to unnecessary legal, administrative, and financial risks, thereby undermining its sustainability and credibility.
Following the public hearing, the Director-General of NECA, Mr. Adewale-Smatt Oyerinde, reiterated the organisation’s deep concerns over the content and intent of the proposed legislation.
“Our position remains that the foundation of this amendment is inconsistent with global best practice as enshrined in several International Labour Organisation conventions and recommendations,” said Oyerinde.
“Weakening tripartite representation and governance, and concentrating financial responsibility in a single office, is a recipe for chaos in the social insurance ecosystem.”
He further emphasized that while NECA supports reforms aimed at improving efficiency and governance, such reforms must not erode institutional integrity or compromise stakeholder involvement.
“ We are not opposed to reforms,” he noted. “However, any reform must strengthen institutions, enhance transparency, promote good and ethical governance, and ensure the long-term sustainability of the Fund. We therefore urge the Senate once again to withdraw this Bill and subject it to proper Tripartite consultation. We also urge that as a matter of fundamental importance, the National Assembly should allow the tripartite panel do a consultative review of the NSITF/ECA Act, while a new bill focused on a holistic social security system for the nation be enacted by the National Assembly.”
