Labour

September 19, 2013

NSITF steps up implementation of employee’s compensation scheme

NSITF steps up implementation of employee’s compensation scheme

Munir Abubakar, NSITF MD, Mr. Segun Osinowo, NECA Director General and Dr. Clement Illoh, Permanent Secretary Ministry of Labour and Productivity, at the event.

By VICTOR AHIUMA-YOUNG

LAST week, representatives of  the Nigeria Social Insurance Trustfund, NSITF and the  Nigeria Employers Consultative Association, NECA, met  in Lagos for  the second award ceremony of the NSITF/NECA Safe workplace intervention project as well as an interactive session with participating employers on the implementation of the Employee’ Compensation Scheme, ECS, in the past one year.

The event afforded the management of the scheme an opportunity  to update employers and other participants  on the implementation of the Employees Compensation Scheme  and  future plans  for the scheme . The leadership of NECA and affiliate employers organisations  used the opportunity to seek clarification on the scheme.

Addressing participants, Chairman, Board of Directors, NSITF, Dr. Ngozi Olejeme, said the event should not be seen as just the donation of ambulances, accident prevention equipment, certificate and plagues, but more as an occasion to meet and interact with employers in order to account for management stewardship under the ECS.

Munir Abubakar, NSITF MD, Mr. Segun Osinowo, NECA Director General and Dr. Clement Illoh, Permanent Secretary Ministry of Labour and Productivity, at the event.

Munir Abubakar, NSITF MD, Mr. Segun Osinowo, NECA Director General and Dr. Clement Illoh, Permanent Secretary Ministry of Labour and Productivity, at the event.

Employees compensation

Represented by one of the Board members, Mr. Aderemi Adegboyega, she expressed delight that the theme of  this year’s discussion focused on the implementation of the Employees’ Compensation Act (ECA 2010): “the successes recorded so far and the challenges being faced towards implementing the scheme.”

According to her “It is equally important for us to hear the views of the employers and employees on our performance to enable us adjust our methods for better service delivery.”

Olejeme was particularly impressed with members of the Committee on the NSITF-NECA Intervention Project for working so hard at ensuring that this year’s annual ceremony had been expanded and improved upon, saying “I am glad to note that unlike last year when the OSH Audit covered only 25 employers in Lagos area alone, this year’s Audit and Award has gone beyond that by covering employers/companies in four other geo-political zones, involving 100 companies/employers.”

“This is indeed commendable and it goes to show that the ECS Scheme is living up to its promise of serving all employers in every part of the country. As regards the OSH Team that carried out the exercise, I want to personally add my appreciation and commendation to them for a  job well done. This is in addition to the earlier commendation they must have received from the Director-General of NECA.”

The Chairman recalled that “last year, I assured that we at the Board of NSITF would continue to do whatever it takes to ensure that the ECS not only succeeds but that it meets the  expectations of all employers.

We are still on that promise and will do everything possible to concretize it. I would in this regard, like to re-emphasis that we are willing and ready at all times to work with NECA to enable us serve employers better.”

Investment committee

“As part of our efforts at ensuring accountability and transparency in the operation of the ECS, we recently inaugurated the Independence Investment Committee as provided by Sections 62 and 63 of the Employees’ Compensation Act (ECA 2010).

The Committee is being headed by no other personality than the Director-General of NECA, Mr. Olusegun Oshinowo. Its functions include carrying out investment surveys in the economy and drawing up a list of safe investments; it will also initiate or carry out independent assessment of the investment activities of the Board.”

According to her, “It will in addition, advice the Board on the investment of any money standing to the credit of the Fund. I am glad to state that apart from NECA, other members of the Committee are drawn from MAN, CBN, NLC, TUC, PENCOM, Investment Promotion Council, NACCIMA, NASME, and so on. The Committee has had its inaugural meeting and has furthermore mapped out strategies for implementing its assignment for the  next one year.”

Also, speaking, the  Managing Director of the scheme, Alhaji Munir Abubakar, was pleased  that more employers are  embracing the scheme voluntarily as the management  continues to explore the option of ‘morasuation’ for the time being rather than sanction.

According to him, by  August while no fewer than 7000 employers had keyed into the scheme, about 500,000 workers had been covered by the scheme, stressing that apart from other benefits and compensation paid, those earning benefit for life have started to receiving it.

While answering participants questions and clarifying issues raised, he assured that the scheme was working out strategies  to train more field workers to step up implementation. He added that  no fewer  than 935 applications for settlement of claims by employers were received, while the fund had settled about 567, explaining that the remaining had one issue or the other that hindered the settlement of their claims

On his part, Director-General of NECA, Mr. Osinowo assured that employers would continue to support the scheme and ensure its success.

He told the gathering that had been moving away from the orthodox role of the voice of employers to providing social responsibility such as providing technical and vocational skills for the development  of the youths, ensuring improved safety at work as typified by the NSITF/NECA Safe work intervention and providing shelter for members and employees through a partnership with Federal Mortgaged Bank. Declaring the programme open, Minister of Labour and Productivity, Chief Emeka Wogu, promised that the ministry would continue to give critical support for the implementation of ECS.

Represented by  the Permanent Secretary in the Ministry, Dr. Clement Illoh, Chief Wogu said such support included awareness creation and sensitization about ECA and ECS, training and capacity development, safety and healthcare, legislative reform where necessary among others.