The organised private sector of Nigeria (OPSN) has warned of a massive job loss over the continued invitations and summons for investigative hearings by the National Assembly committees and ad-hoc committees.
The organised businesses noted that many companies operating in Nigeria are gearing up to fold their operations and move to the neighbouring countries because of ongoing threats and incessant disruption of man hours by the National Assembly committees and ad-hoc committees.
The members of the OPSN comprised the Manufacturers Association of Nigeria (MAN); Nigeria Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA); Nigeria Employers Consultative Association (NECA); Nigeria Association of Small-Scale Industries (NASSI) and Nigeria Association of Small and Medium Enterprises (NASME),
Addressing a press conference on Tuesday, September 19, in Abuja, Director-General of MAN, Segun Ajayi-Kadir, who spoke of the OPSN, said the overbearing attitude of the National Assembly committees and ad-how committees through various invitations and summons and threats of arrest, has made many businesses speed up their exit plans because of the “inhospitable business environment” they pose to their operations.
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Ajayi-Kadir lamented that the threats, apart from disrupting man hours, have “greatly affected the growth of businesses and establishment of new ones, and have also caused loss of millions of naira to many companies.”
He said: “This has been a notable challenge since the 7th National Assembly, from 2012. Recently, several letters were received by our member companies from the Ad-hoc Committee on Non-Remittance to the National Housing Fund and Utilisation of the Fund from 2011 to Date, and the Ad-hoc Committee to investigate the Compliance of Ministries, Departments, and Agencies of government and corporate bodies with the Industrial Training Fund Act, amongst other committees.
“While we appreciate the efforts of the National Assembly and its various Committees and Ad-hoc Committees to investigate and carry out oversight functions on Ministries, Departments, and Agencies of government, we are of the view that sections 88 and 89 of the Constitution, relied upon by the Committees of the National Assembly is not applicable to businesses in the private sector.” Ajayi-Kadir.”
He warned that if nothing was done about the situation, it could lead to the closure of companies in the country, loss of employment by Nigerians, loss of revenue through taxes and levies from the companies, unrest, and an increase in insecurity.
Ajayi-Kadir stated that there are statutory agencies of government in the Executive Arm that have been saddled with the responsibilities to engage, inspect, audit, and apportion penalties for default (if any), ensure enforcement and compliance of provisions of laws and/ or legal instruments within their jurisdictions, institute legal actions against businesses in the private sector, where necessary, etc.
He added: “The agencies have been engaging businesses in the private sector and also carrying out their responsibilities. Thus, they should be invited to give information and account for the levels of compliance as it relates to the provisions of their enabling laws and not private businesses. In order words, the National Assembly should not be the lawmakers and enforcers/implementers of the same laws
“Despite the above position, businesses in the private sector are continually being inundated with letters, invitations/summons from the National Assembly some of which are laced with threats.
“It should be noted that the various invitations, summons, and threats of arrest have the potential to further dampen the interest of foreign direct investors in the Nigerian economy. Also, it should interest you to note that many businesses have relocated out of the country and many others are rounding off their exit plan because of the inhospitable business environment.
“These summonses have become, to a large extent, a duplication of the functions of the agencies created under the Executive arm of government. Also, the numerous forced travels of business chief executives to attend the investigative sessions constitutes an avoidable distraction, loss of man hours, and erosion of confidence in the system. All of these have a negative impact on business activities.