Labour

November 3, 2011

50 former ALSCON employees die without severance benefits

50 former ALSCON employees die without  severance benefits

Aluminium Smelter Company of Nigeria, ALSCON, former employees, protesting close to five years unpaid benefits at the company’s premises recently.

BY  VICTOR  AHIUMA-YOUNG & TONY  NYONG
LESS than five days to the expiration of the 14 days ultimatum the organised labour gave the management of Aluminium Smelter Company of Nigeria, ALSCON, UC Rusal, to pay former employees their four years and eight months unpaid benefits, Pension and You can report that at least, 50 of the ex-workers have died without receiving their benefits.

Investigation revealed that some of them died of minor ailments which would have been easily treated if they had money for treatment.

According to Pension and You’ investigation, among those who have died since 2007 were Monday Sito, Micheal Ogbabumi, Francis Ekarika, Enefiok  Bassey, Sunday Benjamin, Mfreke Ekpo, Christian Roberts, Mfon Collins, Enobong Idemetuk, Ita Peter, Ignatius Udosung and Nsikak Etie.

Aluminium Smelter Company of Nigeria, ALSCON, former employees, protesting close to five years unpaid benefits at the company's premises recently.

It has been sad experiences, tale of woes and mourning for ex-workers’ families and relatives who have watched helplessly their loved ones die and suffer untold hardship since they were disengaged.

A next-of –kin to one of the deceased, who spoke on condition of anonymity, told Pension and You, that “we are still waiting for the Federal Government to fulfill their promise; the government should please come to our aid. This condition has disrupted our education. We are now going cap in hand as if our father never worked for a living and even paid his tax.”

The former workers have been in pains since the privatization of the company they spent their productive life to grow and have been struggling to survive ever since.

Contrary to the Labour provisions in the guidelines of the National Council on Privatization, NCP, regarding settlement of staff claims and liabilities in companies slated for privatization before handing over to the new core-investor, ALSCON was handed over to the new core-investor with these liabilities still outstanding.

Again, contrary to section 9-10 page 34 of the Share Purchase Agreement (SPA) that the new core-investor can pay up any third party liability and get refunded by the Bureau of Public Enterprises, BPE, this is yet to happen.

It is four years and eight months since the privatization of ALSCON took place, neither the BPE nor the new core-investor-RUSAL, has honoured these privatization provisions.

Total unpaid benefits

The total unpaid benefits to the over 1,800 former staff of ALSCON is put at two billion, eight hundred and twenty five million, five hundred and ninety thousand, nine hundred and sixty five naira, twenty kobo (N2,825,590,965.200).

This is contained in the agreement between the two staff Unions in ALSCON; Metal Products Senior Staff Association of Nigeria, MEPROSSAN, Steel and Engineering Workers Union, SEWUN, and the BPE, witnessed by the National Secretary of Nigeria Labour Congress, NLC. Since the signing of the agreement on December 10, 2010 and the subsequent ratification of the agreement by the NCP, no action has been taken in regards to its implementation.

There was a time cases of kidnap of expatriates in Ikot Abasi by militants was linked to the non-payment of severance benefits to former employees of ALSCON.

However, labour and indeed the staff vehemently dismissed the claim.

 

Union seeks Jonathan’s intervention

 

Finding it difficult to bear the suffering of its former members, leaders of SEWUN, in the Company on October 24, 2011, sent a “Save Our Souls” massage to President Goodluck Johnathan requesting mediation.

The message read in part ‘Consequent upon the facts- non adherence to laid down laws in the payment of liabilities to disengaged staff, and the fact that we want to receive our benefits alive not our next-of –kin receiving it on our behalf, we want the collective Agreement and Minimum Wage Negotiation concluded. We are strongly appealing to you to resolve this liability within the next 14 days.’’

“As responsible labour leaders and citizens of the Federation of Nigeria, we understand the the importance of a smelter plant such as ALSCON, not just in Nigeria, but also in the African continent. That is the more reason why we are appealing to the President – Goodluck Ebele Johnathan to use his good office to direct the immediate payment of these long overdue entitlements in line with his promise during his visit to Akwa Ibom State in June 2010.”

President Goodluck Johnathan’s concern should be over the safety, comfort, wellbeing, and better treatment, but what he promised in June, what he said and how he went about it has not reflected the expectations of the people and has not gone down well with them. Before the privatization ALSCON employed 1,800 staff. When Rusal bought the Company, they recalled and employed only 400.

The remaining 1,400 staff are mostly still around Ikot Abasi. All they are waiting for is their severance to be paid. They are aggrieved. We have done our best to calm them down, but we must add that it is getting increasingly difficult to dialogue with this category of employees who have been expecting the payment of their entitlements.”

Former employees, not our obligation- management

THE management of UC Rusal has absolved itself of any responsibility in the non-payment of disengaged workers of the Aluminium Smelter Company of Nigeria ( ALSCON) in Ikot Abasi, Akwa Ibom State.

A statement from the company, said that it was the responsibility of the Bureau of Public Enterprises BPE, to pay the benefits of the workers.

The company however, said that it was committed to the welfare of its workers under the terms of its agreement with the BPE on the acquisition.

The statement, by Albert Dyabin Director, Government and Public Relations of the firm, said that efforts were being made by the Federal Government to resolve the matter with the affected workers.

“The company would like to thank the Vice President and members of National Council on Privatisation who approved the severance payments for our workers. The information we have is that the Federal Government, through the Bureau of Public Enterprises, is working with other government agencies for the release of funds for payment.

“This issue is a long standing problem and we are very hopeful that the Federal Government will bring the matter to a close soon,” the statement read in parts.

The statement was a reaction to agitation by some workers who were disengaged before the company was privatised.

On the stalled negotiations on the collective bargaining agreement between the management and workers’ representatives, the company said that the Akwa Ibom State Governor, Chief Godswill Akpabio, had intervened to resolve the face-off.

“The current negotiations have equally taken some time, but with the intervention of the Governor, we are optimistic that we will resolve all contentious issues. The company shall continue to do what it can to improve the well being of its employees,” it stated.

The workers in the aluminium plant had, on October 24, given the management a 14- day ultimatum to implement their demands for pay rise and settle the terminal benefits of the disengaged workers.

 

 

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