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Tag: NECA

  • NECA seeks support for ITF

    The Nigerian Employers’ Consultative Association (NECA) has called on the Federal Government to fund the Industrial Training Fund (ITF) to enable it fulfil its mandate of empowering Nigerians.

    Noting that the government has not fully utilised the enormous capacity of ITF, NECA argued that the fund could not survive only on contributions from the private sector to train Nigerians to acquire skills.

    NECA’s Director-General Segun Oshinowo made this appeal at an interactive session with the organised private sector (OPS), on the challenges of the interpretation of the ITF Amendment Act 2011, in Lagos.

    Oshinowo said the government must finance the scheme to broaden its capacity given the expertise it has acquired over the years to train more Nigerians.

    “Government cannot just say private sector contribution should be utilised for training public sector manpower, it can’t work. Funding must come with capacity, there is a huge gap there for an institution that have come a long way that has built expertise, that has experience, all it requires is further contribution from government.

    “Funds coming from the private sector cannot be enough and the demand on ITF based on what stakeholders know in terms of its capability is enormous, and there is nowhere we would be able to respond to them if there are no other sources of fund,” he said.

    Among other issues raised at the meeting, Oshinowo said NECA would set up a committee with ITF to look at some of the issues as regards payroll contribution and come up with a definition to sum the basis of the collection to be taken from employers.

    On his part, the Director-General of ITF, Joseph Ari, called for effective collaboration towards improving the trainings and skills that could be exported to earn the country Foreign Direct Investments (FDIs).

    While ensuring that reimbursement of claims is not delayed, he said the scheme in 2017 paid over N2billion to over 1,000 companies.

    To bridge the skill gap, Ari said ITF will assist employers of labour to serve as a compass as well as continue to play its role in building the capacity of the Nigerian workforce.

    “There is a need work together to harmonise the issues of training and skills, where with the huge population of Nigeria, skills could be exported to earn FDIs. Imagine a population without skills leading to negative vices witnessed in the country today. Time has come for all of us to really join force to improve on trainings and skills of Nigerians,” Ari said.

  • Budget 2019: NECA sees bleak future

    The Nigeria Employers’ Consultative Association (NECA) has said the 2019 budget may not make the desired impact on the citizens going by what it described as the  weak economy and the world economic outlook report.

    Its President, Dr Mohammed Yinusa, said the International Monetary Fund (IMF) has cut the country’s growth projections to 1.9 per cent from 2.1 per cent predicted earlier, citing the poor performance of the economy.

    He said while the world economic outlook report, released in July, had projected that the economy would grow by 2.1 per cent this year and 2.3 per cent next year, the World Bank also  cut its growth projections for the country by 0.2 per cent, from 2.1 per cent to 1.9 per  cent.

    The Bank cited reduction in crude oil production levels and contraction in the agricultural sector, following the herders/farmers crises, which have taken a toll on agric productivity.

    “The current downward slide of crude oil price is fueled by high supplies, alliance between some producers, particularly Saudi Arabia and United States and uncertain economic growth.

    “This may hamper current economic prospects in the country, particularly if the development refuses to abate.

    “With the development, implementation of Nigeria’s 2019 budget, benchmarked at $51 per barrel could suffer should the slump persist. Moreover, Nigeria’s economy, which is currently stabilising on boost in crude oil price, could be adversely affected as crisis in foreign exchange, primarily sourced from the oil sector was projected to worsen,” Yinusa told The Nation at the weekend.

    He said the foregoing, especially the projections of the IMF and World Bank, were very worrisome and unfortunately gave a true reflection of the economic reality on ground. He said  the country could also face challenges in areas of deficit financing, cash call payment, micro-economic performance, project financing and political uncertainties.

    He said: “We are also worried about the consequent looming foreign exchange shortfall to support economic activities, especially as it affects importation of required raw materials for the sustenance of production in the real sector of the economy.

    “In order to address this, government should intensify the thrust to diversify the economy from crude oil, especially as other emerging countries are becoming better destination for foreign direct investment.

    “With the upcoming general elections, government should not focus solely on politics at the expense of the economy and good governance, but continue to work assiduously to sustain the steady stabilisation of our economy through informed policies to position it for continued growth.”

  • N30,000 minimum wage is fair, says NECA

    •Association urgesnew pay take offnext month

    THE Nigeria Employers’ Consultative Association (NECA)has said the N30,000 minimum wage for workers is fair, adding that the Federal Government should begin the implementation by January, 2019.

    NECA PresidentDr. Mohammed Yinusa,who stated this at a news conference in Lagos,  said  while the claim of inability to pay could be real, the expectation, however, was for each and every employer, including the government, to focus inward on its business or system and effect the necessary wholesale restructuring and financial re-engineering that will enable it comply with the laws.

    He said if the issue of ability to payis to be the sole determinant of the National Minimum Wage, the country should as well do away completely with the notion and practice of setting a National Minimum Wage.

    He said: “We believe the issue of ability to pay may not be as worrisome as often presented, if there is efficiency, effectiveness and prudence in the administration of the governance structure.

    “We believe that the N30, 000 recommended is a fair wage that could lift workers purchasing power, increase total demand and ultimately stimulate economic activities.

    Read also: Minimum wage talks at Villa today

    “While we note the need for the implementation of the recommended N30, 000, our national conversation should now be focused on how to broaden the nation’s revenue base, ensure the viability of the states of the federation, curb or eliminate wastages and rent seeking in all spheres of national life and increase our national aggregate output, which has consistently been hampered by inadequacy in our existing infrastructures and structures.”

    Yinusa said the present political structure could be likened to the existence of one large National Distribution Centre (NDC) with only one major supply point and seemingly endless collection outlets that are either not enhancing inflow into the NDC or making negligible input.

    “This model is certainly not sustainable,”

    “We need to loosen the current political structure to allow emergence of several production centres in all nooks and cranny of the country to serve as feeder posts to the NDC. States that cannot sustain themselves should be encouraged to merge and emerge as a healthy productive centre, rather than the existing over-reliance on the centre.

     

     

     

  • NECA: govt’s agencies, policies killing businesses

    The Nigerian Employers Consultative Association (NECA) has stated that most government agencies and policies  do not support businesses.

    NECA said there were too many regulations by the agencies.

    Its out-going Director-General (DG), Mr. Olusegun Oshinowo, made these known during his farewell briefing at NECA’s head office in Lagos.

    Oshinowo said the agencies were not supposed to be killers of business; rather, they are supposed to be supporters of businesses.

    Oshinowo said: “The policies and the agencies are killing businesses, we do not need such agencies and policies that do not support private sector at this time and age.”

    He pointed out that infrastructure was another threat to businesses in the country, stressing that Apapa grid-lock and Agbara night-mare is a great disaster to business.

    “The issue of Apapa did not happen in one day, the government should do the needful within the shortest possible time frame. If I was a foreign investor, and having heard the history of how business owners are treated in the country, I will take my money back.

    “We are too off-headed that we allow issues to creep on us and when it happens, we will have more challenges. Insecurity did not creep on us overnight, it is because we have structural problem. There is no structure on ground for security to flourish. We have always treated the issue of security with levity. The government swept the issues of state policing under the carpet. No matter what is being done now, it is not sustainable, except we accept restructuring for states and local governments to charge of their security.” he complained.

    Oshinowo regretted that the absence of good governance is the greatest challenge facing the country, noting that governments in other countries are committed to the welfare of their citizens.

    He said: “Any government that has no evidence to show that it has lifted its people from poverty has no business in government. The real strength of any economy is population of those that are gainfully employed and those that are living above poverty level.”

    Speaking on NECA objectives, he said that the association has over the years focused on the capacity training of youths, workers and women for the industrial sector of the  economy.

    His words: “We are involved in vocational and technical skills training as well as manpower development. We have today shown interest in the safety of employees in work places.”

    He regretted that Nigerian government does not see advocacy as a right for engagement with the private sector, saying that in countries like South Africa, it is a legal issue, such that when government fails to engage in advocacy with the private sector, it would be charged to court.

  • NECA urges employers to participate in NSITF scheme

    The Nigeria Employers’ Consultative Association (NECA) has urged employers, yet to key into the initiatives of the Nigeria Social Insurance Trust Fund (NSITF) to do so in order to strengthen the scheme.

    NECA noted that it was important to work together to give employees hope through its compensation scheme and promotion of occupational health and safety at the workplace.

    NECA Director-General designate Timothy Olawale said this in Lagos at an interactive forum on “Occupational Safety and Health (OHS)” and awards.

    Olawale, who commended NSITF for doing well during the period, described the scheme as “an intervention that has put smiles on employees’ faces; giving them a ray of hope that all is not lost.”

    A presentation on OHS by the organised private sector and employers’ expectation  of  NSITF by Chairman, Committee of Human Resource and Learning Experts, NECA, Chuma Nwankwo, said occupational health and safety was an important aspect needed at the workplace.

    According to him, when it is absent and accident happens, it results to injuries, disabilities or death.

    “When this happens, the family and victims suffer and even the workplace is affected and the society actually pays the price because it loses a member that has been productive and contributing to the growth of the economy,” Nwankwo said.

    NSITF Managing Director and Chief Executive Adebayo Somefun, who highlighted some of the reforms to reposition the scheme, commended stakeholders, who have continued to contribute their quota towards ensuring that NSITF fulfils its objectives.

     

  • NACCIMA disowns NECA, labour

    •‘We never agree to any figure’

    The Nigerian Association of Chambers of Commerce, Mines and Agriculture (NACCIMA) has disowned the Nigeria Employers Consultative Association (NECA) and Organised Labour on the new minimum wage issue, saying the chamber never agreed to the N30, 000 being claimed by the workers’ unions.

    In a letter to the Chairman of the Tripartite Committee on the New National Minimum Wage, Ms. Ama Pepple, NACCIMA Chairman Dr.  Maheeba Dankaka, said that the last figure offered by them before the committee adjourned was N22, 000.

    According to Dr. Dankaka, NACCIMA never authorised NECA to enter into an agreement on its behalf as they constitute over 50 per cent of employers whose voice should be heard.

    The letter reads: “We refer to the media reports on the above stated national minimum wage figure and the proposed industrial action by Organised Labour over a misconceived “agreement” on the sum of N30.000.00 as the new minimum wage for Nigerian workers.

    “We were perplexed to learn that the sum/agreement was an outcome of the workings of the Tripartite Committee on National Minimum Wage (TCNMW) to which we are a member.

    “At no time did NACClMA agree to such a figure. Rather, the last figure offered by us as part of the Organised Private Sector (OPS), was the sum of N22, 000 and negotiation was still on-going for the meeting to arrive at a consensus and not by moving a motion.

    “We did not also authorise the representatives of NECA and Manufacturing Association of Nigeria (MAN) to speak on our behalf.

    “Recall that our members constitute about 50 per cent of employers in the Organised Private Sector (OPS), conversely, we do not want to speak for the thousands of employers in the informal economy whose voices have not been heard.

    “Honourable Chairman, you must be mindful that the issue under discussion deal with the terms and conditions of work which must be placed within the wider context of enterprise sustainability.

    “In view of the above, please find attached our press statement aimed at correcting the erroneous impression created by organised labour. We therefore suggest a reconvening of the TCNMW to continue and finalise the on-going negotiation on new National Minimum Wage.”

  • New wage is total package not basic salary, says NECA

    THE Nigeria Employers’ Consultation Association (NECA) has said the proposed minimum wage represents total package payable and not basic salary as being misconstrued in some quarters.

    In a statement, NECA stated that it needed to provide clarity on the definition of the National Minimum Wage to eliminate any form of ambiguity on the issue.

    Director General, Nigeria Employers’ Consultation Association (NECA) Mr. Olusegun Oshinowo noted that the component of the National Minimum Wage had been well discussed and agreed upon in the past as the total emolument and not just the basic salary.

    Read also: Labour: we’ll begin strike on Nov 6 unless N30,000 minimum wage is adopted

    “Item (iii) on page xi of the Report of the Tripartite Committee on National Minimum Wage 2010 under Recommendations:- The Proposed New National Minimum Wage, specifically cited the National Minimum Wage of N18, 000 per month as Total Emolument. In the same vein, Clause 2.1.2.8 on page 10 of the Report of the Committee on the Review of Wages, Salaries and Allowances in the Federal Public Service and the National Minimum Wage, April 2000 even went further to give a breakdown of the components of the then Minimum Wage of N7, 500 as Basic Salary, Transport, Meal Subsidy, Utility Allowance and Rent Subsidy (which was then 40% of Basic Salary in the Public Service),” Oshinowo stated.

    He urged social partners to note the clarification and in the event of any doubt to obtain the cited documents.

  • Minimum Wage: FG urges organised labour to accept offer

    The Federal Government has urged Organised Labour to accept the new minimum wage proposal considering the capacity and ability of the government and the private sector to pay.

    Minister of labour and Employment, Sen. Chris Ngige, made the call when he received the new Director-General of Nigeria Employers Consultative Association (NECA), Mr Timothy Olawale, on a visit to his office on Friday in Abuja.

    Ngige had a few days ago, while labour leaders were threatening to call out workers for full strike over the minimum wage issue, announced that the Federal Government had offered N24, 000 to the workers.

    But, the workers’ leaders countered, saying that N30, 000 was the amount agreed on by the committee saddled with the responsibility.

    The minister told NECA DG that it was imperative for organised labour to accept the proposed figure instead of the N30, 000 in line with social dialogue and the overall interest of the nation.

    He appealed to NECA to weigh its influence on the organisers labour to accede to the new wage offer mutually agreeable to all the social partners.

    According to him, Nigeria cannot afford rounds of labour crisis in this country, so it is imperative for organised labour to accept the new national minimum wage figure.

    “We need to arrive at a figure which the employers can afford to pay as an employee cannot fix a figure for the employer.

    “Rather, it must be based on collective bargaining and mutual agreement by the tripartite partners.

    “It is not a function of moving motions or voting at the National Tripartite Negotiation Committee to insist that the figure must be as the organised labour appears to make it look.

    “There is, therefore, absolutely no need to heat up the polity,” he said.

    He noted that the government’s proposed new wage was based on critical facts and indices incapable of causing disequilibrium in the economy or upturning the national social order.

    The minister further charged the new NECA boss to exceed the impressive record of his predecessor, reminding him that he had “enormous task ahead of you’’.

    “The need for the establishment of more NECA offices across the country cannot be over-emphasised so that more employers’ associations can register with you.

    “This is in line with the focus of our labour administration as well as in tandem with the economic policies of the present administration.

    “The numerous private sector employers who are informal need to be brought on board the formalized private sector employers’ body,’’ he said.

    Ngige urged NECA to ensure that private sector employers who were its members and those not yet registered but were defaulting in payment of the existing national minimum wage of N18, 000 complied with the law.

    He also commended the efforts of the immediate past D G of the association, Mr Olusegun Oshinowo, for contributing immensely to industrial peace and harmony in the private sector.

    Read Also: Group seeks presidential pardon for Kanu, IPOB

    He lauded him for ensuring that Nigeria was brought back to the Governing Board of the International Labour Organisation (ILO)’s employer section.

    Earlier, Oshinowo had said that his successor was the best man to take over the mantle of the leadership of the association.

    He noted that since the formation of the group, a DG was for the first time sourced from the organisation.

    Oshinowo commended the minister for his open-door policy in spite of opposing positions they had had on issues in the past.
    On his part, Olawale, also lauded Ngige for the privilege of the visit and promised to live up to expectation.

  • NECA: monetary policy too weak to tame spiraling inflation

    The Nigerian Employers’ Consultative Association (NECA) has said the Central Bank of Nigeria’s (CBN’s) monetary policy is too weak to significantly reduce inflation.

    Speaking with The Nation on the sideline of NECA’s 61st Annual General Meeting (AGM) in Lagos, the President, Mr. Larry Ettah said the continued existence of stagflation called for reduction in the cost of borrowing.

    Ettah said the government’s 68.50 per cent recurrent expenditure as a percentage of total Federal Government expenditure in the 2018 budget is an unhealthy expenditure pattern and an indication that the government is yet to accord infrastructural improvement, the life wire of an economy, the importance it deserves through adequate fiscal support.

    He said it was worrisome that for the third consecutive year, the rising cost of debt servicing was in the top three allocations in the budget and, if not checked, debt servicing might soon return to the pre-debt relief period.

    He said though the country’s debt level as a percentage of the gross domestic product (GDP) seems in order, it considers the debt to revenue ratio unhealthy and unsustainable.

    Ettah said the Federal Government must tame its appetite for debts backed by the World Bank. He pointed out that global bank in its recent Global Economic Prospects Report noted with dismay that the optimism over Nigeria’s economic recovery is tempered by concerns over huge debt servicing obligations and continuous foreign exchange (forex) controls.

  • Why we are picketing MTN, says NLC

    The Nigeria Labour Congress (NLC) has said on Tuesday that it decided to picket all MTN offices nationwide because of the unfriendly Labour practice of the company, saying no amount of blackmail will deter them from continuing with the action.

    In a statement signed by its President, Comrade Ayuba Wabba, the Congress said all its efforts and those brokered by the Nigeria Employers Consultative Association to address the issues of unfriendly Labour practices and disallowing its workers to unionize failed as the company fail to return to the negotiating table.

    It said even though the company makes 60 percent of its profit from Nigeria, it is only in Nigeria that MTN workers are not unionised and are subjected to casualisation in total violation of the Labour laws in the country and the ILO conventions.

    Read Also:Labour pickets MTN over anti-workers policies

    The statement reads: “Today, Tuesday, July 10, marks the second day of the picketing of MTN offices nationwide by the Nigeria Labour Congress and its civil society allies. This press statement is intended to explain the reasons for this action as well as debunk the false information being fed to the public by MTN that our members have been unruly in prosecuting this action which is intended to divert attention from the real issues.

    “MTN Nigeria, since it commenced operations in Nigeria and in clear violation of extant national and international labour laws, especially ILO Conventions 87 and 98 has denied its workers the fundamental principles of the rights at work.

    “It similarly indulges in other anti-labour practices such as casualisation for nearly all types of work, fixed- term contract work for Nigerian workers, worst forms of precarious work, etc.

    “It is on record that the Nigeria Labour Congress, on several occasions protested to the MTN and government about these unwholesome practices.

    The World Decent Work Day marked on October 7th last year marked a watershed in these protests as NLC briefly picketed their Maitama office in Abuja.

    “In response to this action of NLC, MTN reached out to NECA (Nigerian Employers Consultative Association) which brokered a meeting. However, due to inexplicable reasons, MTN opted out of the negotiations to the chagrin and embarrassment of NECA.

    “Thereafter every effort by NECA and NLC to get MTN to the negotiating table failed. Frustrated, NECA pulled out of the negotiations. Subsequent efforts by NLC yielded no response either. Left with no other choice, NLC served MTN notice of a picket in line with the provisions of the law. This action commenced across the country yesterday, Monday, July 9, 2018.

    “And in prosecuting this picket, our members have been peaceful and orderly.
    We have not destroyed the property of MTN and we do not intend to do so as that is not our objective anyway. There is no doubt that we are clear about our objectives and we shall not allow anything to distract us.  We are responsible workers and we are alive to our duties and responsibilities.

    “Even when MTN sponsored members of a private security company (with which it works) to attack and injure some of our members, we resisted the option of a proportionate response.

    “The Falomo police have in their custody one of the attackers and an ID card of one of the assailants.

    “MTN therefore, instead of resorting to cheap blackmail and propaganda should do the needful, give to Nigerian workers in their employ, their rights to freely associate, and hold an opinion as guaranteed by the 1999 Constitution, the Labour Laws and Conventions 87 and 98 of the ILO.

    “It is equally important to explain that Nigeria is the only country MTN refuses to allow workers to unionise. In South Africa where the company comes from, workers are unionised. Indeed, our counterparts in South Africa are worried that we have allowed this matter to linger for so long as MTN may choose to try to impose similar conditions on them.

    “In Ghana, workers are unionised as in every other country MTN carries on business. It is important to point out that MTN makes over 60 per cent of its global money in Nigeria. Why then must it be so disdainful of our laws and people.

    “However, its acts of impunity are not entirely new. Nigerians may recall it was the same MTN in clear breach of national security that imperiled the lives of our security personnel in the Northeast over which it was fined.

    “We insist that companies, no matter how rich or powerful must obey the laws of the land. We insist they must treat Nigerians fairly and decently. No one should be above the law.  Let all Nigerians know we are committed to this operation. We have the will and the means to sustain it.

    “Finally, we commend the Nigeria Police so far for their exemplary conduct. We single out for special commendation the police in and around Falomo, Lagos.”