Organised Labour and the Nigeria Employers’ Consultative Association (NECA) on Monday firmly rejected the proposed amendments to the Nigeria Social Insurance Trust Fund (NSITF) Act during a Senate public hearing in Lagos. Both groups insisted the bill should be withdrawn, warning that it threatens the fund’s governance structure and risks weakening the country’s social insurance system.
Speaking at the hearing, the President of the Nigeria Labour Congress (NLC), Mr. Joe Ajaero, and NECA’s Director-General, Mr. Adewale-Smatt Oyerinde, argued that the amendments violate international labour standards, undermine tripartite representation, and could expose the fund to legal, financial, and administrative vulnerabilities. They dismissed claims that the proposal would strengthen the NSITF, insisting instead that it would destabilise its operations.
Labour and NECA maintained that the bill contradicts global best practices and key International Labour Organisation (ILO) conventions. They cautioned that concentrating financial control in a single office would jeopardise transparency and threaten the fund’s long-term sustainability.
After the session, Mr. Oyerinde reiterated NECA’s concerns regarding the purpose and substance of the bill.
“Our position remains that the foundation of this amendment is inconsistent with global best practice and key International Labour Organisation Conventions,” he said.
“Weakening tripartite representation and centralising financial control in one office is a recipe for chaos in the social insurance system.”
He stressed that NECA supports reforms aimed at improving the fund but insisted they must protect institutional integrity.
“We are not opposed to reforms; however, they must strengthen institutions, enhance transparency, and safeguard the fund’s long-term sustainability,” he added.
Mr. Oyerinde urged the Senate to withdraw the bill immediately and initiate a comprehensive tripartite review of both the NSITF Act and the Employees’ Compensation Act (ECA) before drafting any new legislation. He said any new bill should emerge from an inclusive process capable of supporting a robust and effective national social security system.
