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Addressing Challenges Of Casual Employment In Nigeria

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Funke Alabi has been
working in a bank as a contract employee for the past four years and she is now getting apprehensive about what the future holds for her. She does not know if her contract with the bank will be renewed or not and even if the contract is renewed, her salary will not be better than what it is now in any case.
Alabi has struggled endlessly to ensure that her employer converts her employment to a permanent one but her aspiration seems to be a mirage. To make matters worse, the bank often threatens its entire contract staff with termination of appointment at any given opportunity.
Alabi and her colleagues are quite eager to secure good jobs with better conditions elsewhere but since such jobs are not within their reach, they are compelled to make do with their current occupation, although the working conditions are unpalatable.
The unemployment situation in Nigeria is quite grim, as millions of graduates roam the streets every year without the hope of getting jobs, whether in the public or private sector.
After many years of joblessness, the hapless jobseekers would gladly accept with gratitude any kind of job that comes their way.
The dream of an average undergraduate is to come out of school and secure a very good job. But the dearth of employment, coupled with frustration, has compelled many graduates of tertiary institutions to take up jobs which are sometimes demeaning.
Many companies and organisations take undue advantage of the unemployment situation to keep people working under unpalatable conditions. This has given rise to casualisation of labour or contract employment, thereby compelling people to work without receiving wages that are commensurate to the work done and any entitlements whatsoever.
The disparity between the wages of casual and permanent workers is so wide, and casual workers are often treated like second-class citizens. Casual workers are not entitled to pension, housing fund, national health insurance scheme, bonuses or profit sharing, while their salaries are often slashed arbitrarily.
Banks, hotels, construction companies, telecoms firms, oil companies, foreign companies and manufacturing companies are the major establishments which engage in recruiting contract staff.
Some casual employees with solid qualifications, which could be better than those of the permanent staff, are made to operate as subordinates, even while working extra hours for lesser pay.
The International Labour Organisation (ILO) defines casuals as “workers who have an explicit or implicit contract of employment which is not expected to continue for more than a short period, whose duration is to be determined by circumstances.
“These workers may be classified as being employees or own-account workers, according to the specific circumstances of the employment contract.’’
Tinuke Fapohunda, in her paper on “Employment Casualisation and Degradation of Work in Nigeria’’ published in International Journal of Business and Social Science, said that casualisation was gradually becoming a problem in employment patterns across the world.
She noted that in Nigeria, casualisation of employment had been gaining ground in an unprecedented proportion, intensity and scale. “The trend has been largely attributed to the increasing desperation of employers to cut down organisational costs; as casualisation of employment is seen as an appropriate strategy for cost reduction.
“Casual workers occupy precarious positions in the workplace and society; they are effectively a new set of ‘slaves’ and ‘underclass’ in the modern capitalist economy,’’ Fapohunda added.
However, contract employment and casualisation of labour contravene Section 7 (1) of the Labour Act, Cap 198, Laws of the Federation of Nigeria, 1990. The law provides that “not later than three months after the beginning of a worker’s period of employment with an employer, the employer shall give the worker a written statement, specifying the terms and conditions of employment.’’
The conditions “include the nature of the employment and if the contract is for a fixed term, the date when the contract expires.”
Describing contract employment and casualisation of labour issue as worrisome, the Nigeria Labour Congress (NLC) says it has kicked against the practice repeatedly but with little progress.
Mr Nasir Kabir, NLC’s organiser on anti-casualisation, said that banks often employ casual workers because of the obvious desperation of young people who were in dire need of a means of livelihood.
“For the construction companies, they complain that government no longer gives them funds to execute their projects; so, their workers cannot be sustained with the little funds they have.
“If the government looks into this issue and gives the construction firms enough funds to execute projects; they will be able to employ more persons and they will also be able to retain their workers,’’ he added.
Nevertheless, Kabir said that whenever the NLC received a complaint regarding casual employment, it immediately swung into action, adding that the NLC had picketed some companies, while others were shut down until the right thing was done.
“We raised this issue before the congress during our meeting and it was agreed that if we discover workplaces that are casualising their workers; we give them an ultimatum of two weeks to desist from that practice. “After that, we take the next line of action, which is picketing the place and that is what we have been doing,’’ he added.
Kabir, nonetheless, alleged that many union executives were colluding with employers of labour, adding that such connivance had been frustrating the NLC’s efforts to tackle the menace of workers’ casualisation decisively.
“The NLC is a body controlling affiliates and the bankers’ union is affiliated to the NLC but the major problem we are having is that the union’s officials are conniving with the executive directors and chiefs of those banks.
“When we move for a motion, some of them will agree but when we start hitting the banks, they will later turn back and sign a letter of undertaking; submitting themselves to the banks,’’ he said.
Nevertheless, Kabir blamed the country’s judicial system for the delay of cases brought before the courts, saying that the defaulting organisations usually hid behind court cases. “We have about three cases before the National Industrial Court on this issue but up till now, we have not been cleared by the court.
“Some of them (employers) rush to the court, believing the court is a hiding place for them and as a result, workers’ casualisation is still taking place. “There is no law supporting workers’ casualisation and the Chief Justice of Nigeria (CJN) has assured us that any court delaying in any case of casualisation will be dealt with,’’ he said.
Kabir, however, advised jobseekers to be very vigilant when taking up appointments, so that they could refuse demeaning job offers.
“Of course, there is unemployment in the country but jobseekers don’t have to rubbish themselves by accepting casual employment. “If people reject casual job offers, the organisation will treat their staff better and respect them instead of employing more.
“It’s not fair for a graduate to be paid peanuts while the records say he or she is earning more; we kick against this and we will continue to do so,’’ he said.
All the same, the House of Representatives has been striving to stop casualisation of labour and contract employment in the country via a bill sponsored by Rep. Emmanuel Jime
The bill, which has been passed for a second reading, is an amendment of the Labour Act of 2004 and it seeks to limit the casual or temporary status of employees to two years.
The bill also seeks to compel employers to convert casual staff in their organisations to permanent staff after working as temporary staff for two years.
Jime, the bill’s sponsor, argued that the practice had created discrimination in the workplace, as casual workers were often perceived as “inferior’’ workers.
He also noted that the discrimination had negatively affected the economic wellbeing of the casual workers. “It means we have two categories of workers — the permanent ones and the casual ones — in the same workplace. This division is unacceptable and unhealthy for the country’s economic growth.
“But this amendment has opened up the protection of the Nigerian workers by way of a legal backing,’’ the lawmaker added.
Observers hope that Nigerian workers will soon breathe a sigh of relief as soon as the amended law comes into effect.

 
Folasade Folarin

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AFAN Unveils Plans To Boost Food Production In 2026

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The leadership of the All Farmers Association of Nigeria (AFAN) has set the tone for the new year with a renewed focus on food security, unity and long-term growth of the agricultural sector.
The association announced that its General Assembly of Farmers Congress will take place from January 15 to 17, 2026 at the Abuja Chamber of Commerce and Industries, along Lugbe Airport Road, in the Federal Capital Territory.
The gathering is expected to bring together farmers, policymakers, investors and development partners to shape a fresh direction for Nigerian agriculture.
In a New Year address to members and stakeholders, AFAN president, Dr Farouk Rabiu Mudi, said the congress would provide a strategic forum for reviewing past challenges and outlining practical solutions for the future.
He explained that the event would serve as a rallying point for innovation, collaboration and economic renewal within the sector.
Mudi commended farmers across the country for their determination and hard work, despite years of insecurity, climate-related pressures and economic uncertainty.
According to him, their resilience has kept food production alive and positioned agriculture as a stabilising force in the national economy.
He noted that AFAN intends to build on this strength by resetting agribusiness operations to improve productivity and sustainability.
The AFAN leader appealed to government institutions, private investors and development organisations to deepen their engagement with the association.
He stressed the need for collective action to confront persistent issues such as insecurity in farming communities, climate impacts and market instability.
He also urged members to put aside internal disputes and personal interests, encouraging cooperation and shared responsibility in pursuit of national development.
Mudi outlined key priorities that include increasing food output, expanding support for farmers at the grassroots and strengthening local manufacturing through partnerships with both domestic and international investors adding that reducing dependence on imports remains critical to protecting the economy and creating jobs.
He stated that the upcoming congress will feature the launch of AFAN’s twenty-five-year agricultural mechanisation roadmap, alongside the announcement of new partnerships designed to accelerate growth across the value chain.
Participants, he said wi also have opportunities for networking and knowledge exchange aimed at transforming agriculture into a more competitive and technology-driven sector.
As part of its modernisation drive, AFAN is further encouraging members nationwide to enrol for the newly introduced Digital ID Card.
Mudi said the initiative will improve transparency, ensure proper farmer identification and make it easier to access support programmes and services.
Reaffirming the association’s long-term goal, he said the vision of national food sufficiency by 2030 remains achievable if unity and collaboration are sustained.
He expressed optimism that with collective effort, Nigeria’s agricultural sector can overcome its challenges and deliver a more secure and prosperous future.
Lady Usendi
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Industrialism, Agriculture To End Food Imports, ex-AfDB Adviser Tells FG

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Former Senior Special Adviser on Industrialisation to the President of the African Development Bank (AfDB), Professor Banji Oyelaran-Oyeyinka, has urged the Nigerian government to urgently industrialise the agricultural sector as a pathway to food security, economic diversification, and sustainable job creation.
Professor Oyelaran-Oyeyinka made the call while speaking at the Oyo State Economic Summit held at the International Institute of Tropical Agriculture (IITA), Ibadan, during a lecture titled “Industrialising Agriculture for Economic Development and Food Security: Enhancing National Economies and Sub-National Entities.”
He cautioned that despite Nigeria’s vast arable land and its position as a leading global producer of crops such as cassava and yams, the country remains food-deficient and heavily dependent on costly food imports.
He highlighted that Nigeria spends over one trillion naira annually importing wheat, rice, sugar, and fish, a persistent trend that drains foreign exchange, undermines local farmers, weakens industrial competitiveness, and fuels unemployment.
The development economist argued that the solution lay in transforming agriculture from a subsistence activity into a modern, industrial enterprise capable of producing surplus, supporting manufacturing, and driving broad-based economic growth.
He explained that industrialising agriculture does not mean replacing rural communities with factories, but rather empowering farmers with technology, skills, infrastructure, and market access to raise productivity and incomes.
According to Professor Oyelaran-Oyeyinka, Nigeria’s low agricultural productivity reflected deeper structural challenges, including weak education systems, limited skills, and inadequate investment in technology and infrastructure.
He noted that countries that successfully transitioned from low-income to middle-income status did so by modernising agriculture alongside industrial development, creating strong linkages between farms, processing industries, and markets.
Oyelaran-Oyeyinka highlighted stark yield disparities between Africa and Asia, noting that cereal yields across African countries remain less than a third of those achieved in East Asia.
This gap, he said, explains why African economies struggle to compete globally and why industrialisation efforts have stalled.
Professor Oyelaran-Oyeyinka outlined key pillars of agricultural industrialisation, including mechanisation, value addition, integrated supply chains, access to finance, improved seed systems, and targeted investment in human and technological capabilities.
He stressed that farms must be treated as “factories without roofs,” capable of feeding into agro-processing, manufacturing, and export industries.
The visiting professor at The Open University in Milton Keynes said the economic benefits of such a transformation would be far-reaching, including reduced dependence on oil, large-scale job creation, significant foreign exchange savings, and stronger national food security.
Drawing lessons from Vietnam, he described how deliberate agricultural modernisation helped transform the Southeast Asian country from a food importer into one of the world’s leading exporters of rice, coffee, cashew, and seafood.
Vietnam’s agribusiness exports, he said, now generate tens of billions of dollars annually and underpin the country’s wider industrial success.
He attributed Vietnam’s success to consistent policies, heavy investment in agro-processing, strong farmer–industry linkages, and the use of special economic zones to drive value addition and export competitiveness.
Oyelaran-Oyeyinka noted that similar models are emerging in Nigeria, including in Oyo State, but warned that they require reliable infrastructure, policy stability, and empowered governance to succeed.
The professor called on state governments to prioritise power, roads, and logistics, strengthen agricultural extension services, and create efficient special agro-industrial processing zones that attract major domestic and international investors.
He also urged the private sector to view agriculture as a profitable business frontier rather than a social obligation, noting that Nigeria’s future prosperity depended less on oil and more on harnessing the productive potential of its land and people.
“We are a nation that can feed itself and others, yet we remain food-insecure and overly dependent on imports. This paradox is holding back our economy.”
“Industrialising agriculture does not erase our rural roots; it transforms them into engines of productivity, wealth creation and national development.”
“Subsistence agriculture is both a cause and a consequence of technological backwardness, and no country has reached middle-income status without first modernising its agriculture.”
“A farm must be treated as a factory without a roof, connected to processing, logistics, finance and markets. Vietnam shows that agricultural transformation is not accidental; it is the result of deliberate policies that link farmers to industry and global markets.”
“The seeds of Nigeria’s prosperity are not buried in oil wells; they are sown in the fertile soils of our ecological zones,” he said.
Lady Usendi
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Cashew Industry Can Generate $10bn Annually- Association

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The President of the National Cashew Association of Nigeria (NCAN), Dr Ojo Ajanaku, has said Nigeria could earn $10 billion annually from cashew production, with $3 billion coming from cashew sales alone.
Ajanaku made this known during a press conference organised ahead of the 4th National Cashew Day, scheduled to hold from Jan. 22 to Jan. 24 in Abuja, with the the theme: “Unlocking the Full Potential of Nigeria’s Cashew Industry”.
He said that poor export documentation and weak repatriation of proceeds were causing major losses to the Nigerian economy.
“A substantial volume of cashew exported from Nigeria leaves the country without proper export proceeds forms, as exporters allegedly avoid bringing earnings back into the country,” he said.
He said during the last export season alone, Nigeria reportedly exported over 400,000 tonnes of cashew valued at about $700 million.
Ajanaku noted that deliberate investments in production and processing could unlock far greater potentials.
“If Nigeria produces just two million tonnes of cashew annually, which is achievable in less than five years, and sells at an average of $1,500 per tonne, the country would earn about $3 billion yearly,” he said.
He added that beyond raw cashew exports, enormous value lies in processing and by-products such as Cashew Nut Shell Fluid (CNSF) and cashew cake, which are largely wasted locally.
“In Vietnam, cashew cake alone sells for about 95 cents per kilogram, while in Nigeria processors pay to dispose of it as waste,” he noted.
Ajanaku explained that full local processing of cashew and its by-products could generate not less than $10 billion annually for Nigeria while creating thousands of jobs across the value chain.
He stressed that Nigeria has the production capacity, while countries like Vietnam possess advanced processing technology.
The NCAN President further disclosed that the association is strengthening partnerships with key government institutions, including the Ministry of Finance, the Federal Ministry of Agriculture and Food Security, NEXIM Bank, and other agencies to reposition the sector.
He added that a landmark Memorandum of Understanding has been signed between Nigeria and Vietnam to facilitate technology transfer and deepen cooperation in cashew processing.
He expressed optimism that with sustained government support and effective regulation, the cashew industry could become a major driver of economic growth, foreign exchange earnings, and industrial development in Nigeria.
“Producing states should be given priority. For example, Kogi State, which has the highest cashew production in the country, has no factory. A lot of potentials can come from Kogi State for the country,” he said.
Also speaking, NCAN National Secretary, Augustine Edieme, said strategic plans are being made to showcase Nigeria’s potentials during the 4th National Cashew Day, which he described as a key opportunity to attract bigger investments and investors into the industry.
“We are not just talking about the cashew seeds. We need to crack the fruit shell and discover the value in cashew shells. Industrialisation of the cashew industry is key to driving the Nigerian economy,” he said.
The representative of the Federation of Agricultural Commodity Associations of Nigeria (FACAN), Sunday Ojonugwa, pledged that FACAN would optimally support the cashew association to ensure the sector reaches its full potential.
Lady Usendi
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