NLC Accuses FG of Mismanagement in NSITF, Issues Seven-Day Ultimatum
The Nigeria Labour Congress (NLC) has accused the Federal Government of mismanaging the Nigeria Social Insurance Trust Fund (NSITF), alleging the illegal diversion of 40% of workers’ contributions into government coffers under the guise of “revenue.” The union described the act as a blatant violation of the laws establishing the NSITF.
In a communiqué issued after a meeting of its Central Working Committee (CWC), the NLC gave the government a seven-working-day ultimatum—starting Thursday, August 14, 2025—to return the diverted funds. The union warned that failure to comply would result in a breakdown of industrial peace in the sector.
As of the time of this report, the Federal Government had not responded to the allegations.
Describing the situation as an “ongoing assault on workers’ social protection rights,” the NLC emphasized that the NSITF belongs to the Nigerian working class. The union pledged to utilize all legitimate means to protect workers’ interests.
“The NSITF must fully account for and return all diverted funds within seven working days from today. If no action is taken within this period, the NLC will no longer guarantee industrial peace in the sector,” the communiqué stated.
Signed by NLC President Joe Ajaero, the communiqué also condemned other actions by the government, including:
The alleged false claim of ownership over the NLC National Headquarters, a property the union insists belongs to Nigerian workers,Cyber and media attacks against trade unions and their leaders,Secret efforts to amend the NSITF Act in a way that would strip workers of their rights and hand full control of the fund to the government.
The CWC further demanded that the board of the National Pension Commission (PENCOM) be constituted within the same seven-day period, in full compliance with existing laws. It also called for a comprehensive report on the status of all funds to be submitted to the NLC within the same timeframe.
The communiqué highlighted serious concern over the continued non-constitution of the PENCOM governing board, in breach of the PENCOM Act and other relevant statutes. It noted that the resulting power vacuum has allowed the government to unilaterally control pension funds, eliminating the statutory tripartite oversight and increasing the risk of mismanagement and political interference.
“The CWC reiterates that pension funds are not state revenue—they are deferred wages. We demand the immediate constitution of the PENCOM board in line with the law,” the statement added.
In a separate resolution, the NLC ratified the dissolution of its Edo State administrative council and announced the formation of a caretaker committee. The union also reaffirmed its commitment to enforcing its constitution across all state councils, pledging zero tolerance for indiscipline.