Business
NLC Tasks FG On Oronsanye’s Report
The Nigerian Labour Congress has called on the government to address the social and labour issues that might ensued from the report of the Presidential Committee on the Rationalisation of Federal Government Parastatals, Commissions and Agencies.
The Stephen Oronsanye-led committee submitted its report to President Goodluck Jonathan week.
In a statement issued in Abuja by the acting President of NLC, Mr Joe Ajaero, the congress said its comments had become imperative because the recommendations in the report “raised serious labour and social issues”.
According to the statement, the NLC told the Presidency at the inauguration of the committee that it was necessary for it to be represented on the committee.
“Now that the report is out and a government team to produce a White Paper has been constituted, the NLC finds it imperative to raise the social and labour issues that will arise.
“The recommendations, which include the reduction of 263 statutory commissions to 161 and the scrapping of 38 agencies, may lead to massive loss of jobs which will have disastrous consequences for the country.
“It is necessary to first clarify that the NLC believes that the cost of governance needs to be reduced although we think this has to do mainly with government expenditure on political appointees and hangers on.”
The statement pointed out that parastatal agencies such as “the FRSC and EFCC which have proven records of success’’ should not necessarily be scrapped or merged.
“Where compelling reasons and facts are given, congress will not necessarily oppose the merger or scrapping of certain agencies; however we do not think that these need necessarily lead to job losses.
“But since job losses may be inevitable in a few cases, congress demands that special focus be placed on the social and labour implications.
“We know that each worker caters for more than six persons and each job loss may automatically translate to eight Nigerians being pushed further down the poverty line and hunger.
“There are also security implications as a jobless and hungry citizen may become vulnerable to being enticed by enemies of the country.”
The NLC stressed that any redundancy that might be declared in the affected organisations should be in accordance with labour laws.
It said that there should be negotiations with the relevant unions or authentic representatives of the workers to be affected.
“But given the fact that this may cut across a number of parastatals and agencies, it is necessary that the central labour unions in the country should be invited to negotiate with the Federal Government.
“To avoid the social and labour issues and crisis that may occur as a result of the report, the White Paper and government actions, Congress appeals to the Presidency to invite labour at this stage for discussions on the issue.”
The NLC assures workers that they would not be abandoned and that the congress would do its best to protect their interests.
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Sugar Tax ‘ll Threaten Manufacturing Sector, Says CPPE
In a statement, the Chief Executive Officer, CPPE, Muda Yusuf, said while public health concerns such as diabetes and cardiovascular diseases deserve attention, imposing an additional sugar-specific tax was economically risky and poorly suited to Nigeria’s current realities of high inflation, weak consumer purchasing power and rising production costs.
According to him, manufacturers in the non-alcoholic beverage segment are already facing heavy fiscal and cost pressures.
“The proposition of a sugar-specific tax is misplaced, economically risky, and weakly supported by empirical evidence, especially when viewed against Nigeria’s prevailing structural and macroeconomic realities.
The CPPE boss noted that retail prices of many non-alcoholic beverages have risen by about 50 per cent over the past two years, even without the introduction of new taxes, further squeezing consumers.
Yusuf further expressed reservation on the effectiveness of sugar taxes in addressing the root causes of non-communicable diseases in Nigeria.
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