By Victor Ahiuma-Young & Elizabeth Adegbesan

Stakeholders have brainstormed on exploring ways of bringing service providers to key into the Nigeria Social Insurance Trust Fund, NSITF’s Employees Compensation Scheme, ECS , aimed at deepening and creating social security for Mobile Money and Bank  agents across the country.

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At a sensitisation programme on the implementation of the ECS in Agency Banking and the Fintech Industry, organised by the NSITF, in Lagos, with the theme ‘Enhancing Agency Banking and Mobile Money Operations through Employees Compensation Scheme, ECS’, NSITF, said providing adequate social security was not only a social imperative but an economic one as it guarantees that the workforce remains productive and secure, helping to foster economic stability.

Chairman, Senate Committee on Banking, Insurance and Other Financial Institutions, Mukhail Abiru, said the work of the NSITF was far from complete as there is still much to be done, especially in the area of expanding the reach of the ECS, particularly in sectors like fintech, where the workforce is dynamic, and the nature of work is continuously evolving.

Noting that the importance of employee compensation schemes could not be overstated, he said they are vital not only for ensuring the well-being of workers but also for maintaining productivity in the face of occupational hazards.

According to him, workers who feel secure in their workplace, knowing that their rights and safety are guaranteed, are likely to be more productive and motivated.

The lawmaker, who was represented by a Professor of Capital Market at the Nasarawa State University, Uche Uwaleke, said the increasing reliance on agency banking comes with the growing need to ensure the safety and security of the operators.

He stressed that agency banking operators face unique risks, including exposure to physical harm, financial loss, and occupational hazards, especially as they often operate in remote or high-risk areas.

“It is therefore, imperative that they are insured under the ECS to mitigate these risks and provide them with the necessary protection. By ensuring that agency banking operators are covered, we not only protect the operators themselves but also strengthen the foundation of financial inclusion in Nigeria,” he said.

He added that the ECS was one such policy that embodies the values of fairness, equity, and safety for workers, especially in emerging sectors like fintech which employ a dynamic and diverse workforce across both the formal and informal sectors.

General Manager, Informal Sector Department, NSITF, Chikamadu Onyewuchi, listed the benefits of the ECS to agency banking and the fintech companies, stating that it enhances workers’ security and productivity, increases awareness of agency banking roles, talent retention, potential reduction in liability for financial institutions and also improving morale and loyalty, knowing they are protected, valued and more motivated to perform efficiently.

On the consequences of not implementing the ECS, Onyewuchi said, it would lead to financial vulnerability, low productivity, and persistent inequality that continues to be a mirage.

She encouraged employers in agency banking to embrace ECS to enhance workers’ safety and financial inclusion.

Speaking on ‘Critical Review Analysis of the Operations and Employer Contributions to the Nigerian Social Insurance Trust Fund, NSITF: Prospects and Challenges, the President of National Union of Banks, Insurance and Financial Institutions Employees, NUBIFIE, Anthony Abakpa, lamented that there have been instances of mismanagement, corruption and lack of transparency, which have undermined public trust in the Fund.

Noting that the ultimate measure of the NSITF’s effectiveness was its ability to disburse benefits to eligible beneficiaries in a timely and efficient manner; however, while the Fund has successfully provided compensation to many workers, there are cases where delays, bureaucratic red tape, and inadequate communication have impeded the process.

This, he said has led to dissatisfaction among beneficiaries and questions about the Fund’s efficacy.

Earlier in her welcome address, the Regional Manager of NSITF for Lagos Mainland, Mrs. Agbonma Okoroafor, explained that the scheme offers compensation for workplace injuries, health and safety and support workers and families.

According to her, “With the rapid growth of technology-driven financial services, there is an increased responsibility on all stakeholders to ensure the protection and welfare of our employees who are the backbone of our industry.

“At NSITF, we are committed to protecting Nigerian workers, and the Employees Compensation Scheme is one of the key tools we use to achieve this. Through this scheme, we offer vital protections such as: Compensation for Workplace Injuries: Ensuring that workers who experience injury, disability, or loss of life while on the job are supported financially.

“Health and Safety: We support employers in improving workplace safety, ensuring that workers can perform their duties in a secure environment. Support for Workers and Families: In times of need, the ECS provides financial relief to workers or their families, reducing the economic burden caused by workplace-related incidents.”

On his part, the Director-General of Nigeria Employers’ Consultative Association, NECA, Mr. Adewale-Smatt  Oyerinde, represented by  Director, Legal, Regulatory & Taxation, NECA, Mr. Thompson Akpabio, advised  fintechs and agents to embrace the ECS initiative adding, “The world of work is not just changing. It has changed and it is changing so rapidly that it will continue the same way we do things that we will be out of connection.”