Connect with us

Business

Addressing Challenges Of Casual Employment In Nigeria

Published

on

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

Continue Reading

Business

NSIB, AAAU Sign MoU On Air Safety Training

Published

on

As part of efforts to curb mishaps in the aviation industry, the Nigerian Safety Investigation Bureau (NSIB) has signed a Memorandum of Understanding (MoU) with the African Aviation and Aerospace University (AAAU) to deepen training on preventing and reducing accidents in Nigeria’s air transport.
Director, Public Affairs and Consumer Protection of NBIS, Mrs Bimbo Olawumi Oladeji, in a statement, said NSIB granted AAAU access to its facilities to facilitate an efficient exchange of resources and expertise.
According to the statement, the Director-General/Chief Executive Officer of NSIB, Captain Alex Badeh, who spoke at the ceremony held at the NSIB Training School, noted that the MoU sets the stage for facility sharing, capacity building, and collaboration between the Bureau and AAAU.
“I am confident that this MoU will enhance the effectiveness of our collaboration and commitment to promoting safer skies and operational excellence in the aviation industry in Nigeria and beyond”, Badeh said.
Registrar of AAAU, represented by the Director of Physical Planning and Works, Engineer Masud Aliyu Yerima, was also quoted in the statement, saying, “The journey of AAAU’s establishment and progress would have faced considerable challenges without NSIB’s generous support”.
He commended Badeh for his exemplary leadership and steadfast dedication in propelling NSIB to greater heights, and affirmed AAAU’s readiness to engage in mutually beneficial endeavours with NSIB.
“This partnership marks a significant milestone in fostering a culture of safety and excellence within Nigeria’s aviation sector, and both NSIB and AAAU are poised to leverage this synergy for the benefit of the industry and the nation at large.
“The African Aviation and Aerospace University, AAAU, is the first Pan-African university dedicated to aviation, aerospace, and environmental science.
“Addressing two critical needs within the continent’s industry, AAAU tackles the research and development gap in Africa’s aviation and aerospace sector while simultaneously cultivating a skilled workforce to propel it forward”, the statement added.

By: Corlins Walter

Continue Reading

Business

Naira Rebound, Air Peace’s Expansion Deepens International Route Competition 

Published

on

he commencement of flights operations on the London route by an indegenous Carrier, Air Peace Airline, and the recovery of the local currency have sparked fresh competition on international routes.
Air Peace, Nigeria’s outstanding indigenous airline, may face a prolonged market battle with many foreign airlines with decades of experience in the industry following its entrance on the Nigeria-London route.
Some of the industry’s experts say the airline required support from the government and a strategic approach to stay competitive.
Analysts have also stated that the strategic move has garnered high praise from stakeholders in the aviation sector, considering that Nigerians were paying exorbitant prices to travel from Nigeria to London, but that sustaining this momentum will require more than just offering low prices.
On March 31, 2024, the 11-year-old airline made a bold statement with its inaugural flight, using a Boeing 777 aircraft, offering a capacity of 274 seats and carrying 260 passengers from Lagos to London.
It sold its tickets for N1.2m, a price way lower than the rates offered by most foreign airline operators plying the same route.
Just two weeks after entering the market, Air Peace’s Chief Executive Officer, Allen Onyema, complained on Arise TV that foreign airlines were undercutting prices in an attempt to push Air Peace out of the market.
Onyema said, “We are aware that there are devilish conspiracies. All of a sudden, airlines are pricing below the cost. One airline is advertising $100  and the other $350. If you peel up your entire aircraft and carry people on the wings, it is not even enough to buy fuel.
“Why are they doing that? Their government is supporting them because Nigeria has been a cash cow for everybody. The idea is to take Air Peace out, and the moment they succeed in taking Air Peace out, Nigerians will pay 20 times over. It would happen, God forbid, if they were able to take Air Peace out”.
It was gathered that an economy ticket for a flight scheduled for April 29, 2024, from Lagos to London costs about N679,375 on Ethiopian Airlines, an operator with 75 years of experience.
Air Peace priced the same ticket at N1,090,750. The difference is that on Air Peace, it will be a 6-hour non-stop flight, while on Ethiopian Airlines, it will take 16 hours with one stopover.
Last Friday, Ethiopian Airlines reduced the price of its London ticket by 0.77 per cent to N1,628,660 from  N1,641,249 two weeks ago.
In the same period, Air France’s price dropped to N1,687,824, nearly halving from last month’s N2,482,138.
On March 4, 2024, Lufthansa offered the Lagos-London route for N1,966,165. Qatar Airways provided the same ticket for N2,016,824, and KLM priced it at N2,448,740.
This continuous decline in air ticket prices was also driven by the strengthening of the naira against the US dollar and the payments of airlines’ trapped funds by the Central Bank of Nigeria.
Minister of Aviation and Aerospace Development, Festus Keyamo, had confirmed that the Federal Government, through the CBN, had cleared all the trapped funds (foreign exchange backlogs) to the tune of about $160m.
Beyond the ongoing price war, the Air Peace Chairman had also lamented the challenges with ground handling and space allocation at the London Gatwick Airport, adding that no airline has faced such obstacles before.
He noted, “On the inaugural flight out of London, 24 hours before departure, the management of Gatwick Airport moved us to another checking area instead of the designated one.
“The area they provided had a malfunctioning carousel, forcing us to manually transport luggage 50 meters away, causing delays”.

Continue Reading

Business

PH Airport Users Lament Down Turn In Flight Operations 

Published

on

Users and business operators at the Port Harcourt International Airport, Omagwa, have decried the downward trend in flight operations at the airport.
Some of the users and operators told The Tide that flight operations at the airport, rather than go upward, have steadily been irregular, and diminishing steadily.
A regular air passenger of the airport, Simeon Echeonwu, in a chat with The Tide, said many airlines, both domestic and international operators, that usually operate at the Port Harcourt airport, have stopped operations, whereas others that are still operating are no longer very stable as before.
Echeonwu noted that airlines such as Aero Contractors, United Nigeria, and Green Africa airlines, now operate about one flight, twice a week, unlike before that they flew every day on Lagos and Abuja to Port Harcourt.
Also speaking, former Chairman of the FAAN Accredited Car Hires Association, Clifford Wahunoro, lamented that the down turn in Operations has affected the business of car hires.
“If you have noticed, I have not been regular at the airport for some time now, because business is no longer flowing at the airport as before. I will not fold my hands and be sitting down doing nothing, so I have to look for other things, so I come when I think there will be something.
“You can see that between 12noon and 1pm, after that segment of flights, when you have few flights arrival, many people will close for the day, and when you wait till evening, flight like Dana may come very late at night, and sometimes, it will not arrive, and by that time, many people will not like to book for commercial vehicle”, he said.
Meanwhile, a travel agent, who wished to be anoyimous, decried the rate at which the airport is going down in terms of flights operations, noting that Port Harcourt airport ought to be competing with the other major airports like Lagos and Abuja.
He queried if such was a calculated attempt to bring the airport to its kneel in terms of flight operations, while other major airports have steady flow of flight operations both for domestic and international.
TheTide observed a continuous distortions in flight movement at the airport. Some of the airlines, like Max air, which many passengers patronize, have completely stopped operations, and no new airline has been added.
Apart from the Air Peace Airline that has maintained some level of stability in operations, other few operators have been involved in either steady rescheduling of flights, cancellation and regular delay, resulting in poor and unpredictable flight movement, which affects or determine other businesses in the airport.

By: Corlins Walter

Continue Reading

Trending