Yinka Kolawole

The Nigeria  Employers Consultative Association and the Nigerian Labour Congress (NLC) have disagreed over an attempt by the employers’ association to enforce compulsory contribution by employees to the National Housing Fund (NHF).

The NHF scheme was set up by the NHF Act No.3 of 1992, to provide a pool of fund that will cater to the housing needs of the low and medium income earners, and made it mandatory for employees  to contribute 2.5 per cent of their monthly income to benefit from it.

But employees had several years ago opted out of the scheme due largely to complaints regarding alleged poor record keeping by the Federal Mortgage Bank of Nigeria (FMBN) and cumbersome bureaucratic bottlenecks.

The altercation arose during an interactive session organised by the employers’ association to reintegrate employees, the organised private sector and labour into the NHF, in Lagos, recently.

NECA’s Director_General, Mr. Olusegun Oshinowo, had suggested a resolution demanding that all employers enforce employees’ 2.5 per cent monthly contribution into the fund with effect from January 2011. But the suggestion was swiftly rejected by the Vice_President of NLC, Mr. Issa Aremu, who said workers could not be pushed to make contributions in which assurance on their interests cannot be guaranteed.

Oshinowo suggested a resolution thus: “Employers will no longer be able to defend their employees in their bid to avoid the housing fund contribution. To this effect, all employers are required without any delay to effect the 2.5 per cent contribution to the housing scheme with effect from January 2011.

“FMBN will not get any contribution for the period that workers did not pay, from 2000 till date. It should also forward account for all past contributions to employees who had contributed in the scheme before. The FMBN is also required to make all necessary arrangement and move for the review of the NHF Act of 1992. We will continue to have this interactive forum for the next two years to assess progress made.”

Aremu however opposed the move, saying: “Let me make it clear here that NLC did not agree that workers should begin contribution in January. Let me also make it clear that NLC is not under any pressure.”

Oshinowo noted that the move by NECA is merely aimed at ensuring that the NHF law is made functional, adding that the issues that led to the withdrawal of labour would be thoroughly examined. He said that the Economic and Financial Crimes Commission (EFCC) had written to major companies, especially multinationals, demanding information on the workers’ participation in the NHF contribution.

“We will hear FMBN out, investigate whether it has truly improved as it claims here today and put our heads together and come out to inform you the step we have taken. I