The Nigeria Social Insurance Trust Fund (NSITF) has called on employers across the country to go beyond salary payments and actively secure the long-term welfare of their workers through full compliance with the Employees Compensation Scheme (ECS).
Speaking during a courtesy visit by the leadership of the Oil Producers Trade Sector (OPTS) of the Lagos Chamber of Commerce in Abuja, NSITF Managing Director, Oluwaseun Faleye, emphasized that sustainable industrial harmony and productivity depend on employers’ commitment to workers’ future.
“Workers’ demands are not always tied to salary and wage increases. The need to assure their future often takes priority,” Faleye said.
“You need to highlight your efforts at meeting their welfare demands through compensation schemes, health benefits and others, and tie this to outputs.”
Faleye urged that compliance with the Employees Compensation Act (ECA) be made a prerequisite for awarding contracts, adding that employers must also ensure subcontractors and suppliers enroll their workers in the ECS to avoid vicarious liabilities.
The ECS, established under the ECA of 2010, provides compensation for employees who suffer work-related injuries, diseases, disabilities, or death – at no cost to the worker. Employers are mandated to contribute one percent of their workers’ gross salaries to the scheme.
During the meeting, OPTS representative Steve Ojeh commended Faleye’s leadership but expressed concern over proposed increases in ECS contributions and the expansion of its coverage beyond basic salary, housing, and transport allowances.
Meanwhile, NSITF Board Chairman, Sola Olofin, raised alarm over the implications of the Finance Act 2021, warning that its ambiguity could undermine the Fund’s independence and threaten workers’ social safety net.
“This is not merely an accounting classification; it is a matter with far-reaching effects on the autonomy, operations, and the financial health of the Fund,” Olofin stated.
He urged the Board to support NSITF management in advocating for clearer policy positions and protecting the Fund from regulatory overreach.
“We must continue our advocacy, backed by sound legal and policy arguments, to safeguard the Fund from regulatory overreach that may impair its ability to meet its statutory obligations,” he added.
