Editorial

Criminalising Casualisation, Job Outsourcing

Published

6 years ago

March 19, 2020

The fact about the alarming data released by the organised private sector unions indicating that over 70 per cent of Nigeria’s workforce in the private sector is casualised is no longer news. Casualisation is the practice of employing temporary staff for short periods rather than make them permanent staff. Unfortunately, this phenomenon, aimed at saving costs, is gradually creeping into the public sector.
Under the arrangement, the worker is not entitled to any perks such as transportation, leave, medical allowances or special benefits package. Besides, the worker’s take-home pay is so miserable that it can hardly take him/her home. To make matters worse, the typical casual worker gets a miserable N500 per day.
But then, casualisation is thriving because of the high rate of unemployment, even though it contravenes Section 7 (1) of the Labour Act, Cap 198, Laws of the Federal Republic of Nigeria, 1990. The Act provides that, “Not later than three months after the beginning of a worker\’s period of employment with an employer, the employer shall give to the worker a written statement specifying the terms and conditions of employment, which include the nature of the employment and if the contract is for a fixed term, the date when the contract expires.”
As if to boost the Labour Act, Section 17(a) of the 1999 Constitution condemns casualisation because it is at variance with its provisions, which guarantees equal pay for equal work. Furthermore, Convention 153 of the International Labour Organisation (ILO), which Nigeria is a signatory, does not support any form of discrimination in the workplace.
In fact, the section holds that casualisation is out of tune with 21st Century best practices. Hence, the discrimination in pay between permanent and casual employees should not exist. Besides, the section frowns against discrimination on account of sex or any grounds whatsoever.
But casualisation is growing at a worrisome rate as available statistics show that preponderance of casual workers is in the telecommunications, oil and gas, banking, insurance, mining and steel sectors. To put it in proper perspective, available statistics shows that about 70 per cent of workers in most of these companies are on casual fringes. Sadly, outsourcing is also used interchangeably with casualisation in all these sectors as a ploy to avoid regularising their employment.
More disturbing is that expatriate companies, mainly those owned by Chinese and Indians, are the worst culprits. Nigeria is a haven for their illicit and inhuman ventures. But can they succeed without connivance with unpatriotic, highly-placed Nigerians? The answer is no.
There is no gain emphasising the fact that Nigerian workers, through the Nigeria Labour Congress (NLC), have been battling unrelentingly to eradicate casualisation, but the desired result is yet to be achieved. Therefore, a legislation to end casualisation becomes necessary and urgent.
It is against this backdrop that The Tide welcomes the recent move by the House of Representatives to criminalise employing workers on casual contracts beyond six months and the prohibition of outsourcing of jobs to third parties, while any casual workers sacked by an employer after six months will be entitled to the benefits of full-time workers for six months, being proposed in the Labour Act (Amendment) Bill 2019 awaiting second reading by the House.
According to the proposals, the amendment to Section 8 of the Principal Act would now read, “(1) Every worker in Nigeria engaged or employed by and has remained in such employment for a period of not less than six months shall have his employment or engagement regularised by the employer as a full and permanent worker of such employer with all its accompanying entitlements.”
The new Section 9 of the principal Act will now read, “(1) Notwithstanding Section 25 of this Act, an employer, who has obtained the Minister’s licence, employment outsourcing by such employers within its core aims and objectives of operation is hereby prohibited. It is an offence for an employer to pay another person, whether corporate or natural person, for services rendered to it by its worker.”
Recently, the Campaign for Democratic and Workers’ Rights in Nigeria, a non-governmental organisation, heightened fears that the situation would worsen as employers prefer to outsource staff.
We, therefore, see the proposed law which states that failure by any employer to comply with Subsections 1 and 2 will constitute an offence, which will attract a two-year sentence, N2 million fine or both as concrete efforts towards protecting workers in the country.
Although the rapid increase in both the casualisation and outsourcing trends is attributed to the global economic and employment crises that have continued to threaten the future of developing economies such as Nigeria, its continuing practice remains a serious challenge to the nation.
We are not oblivious of the characteristics of casualisation in concrete terms; the act forbids the employment of workers beyond three months without employment letter detailing the conditions of service, among other provisions of the act. But in all sectors of the Nigerian economy, this law is only obeyed in the breach by employers with impunity and without qualms. In both public and private sectors, what is known as precarious or casual worker is the trend.
While we also appreciate move by the Senate to stem the tide, we believe that the situation requires a more desperate intervention. Casualisation is a modern-day slavery. To associate our economy with it will continue to diminish high profile rating that Nigeria expects among the comity of nations. Therefore, nothing less than speedy passage of the amendment bill is expected.

Editorial

Domesticate FG’s Exit Benefit Scheme

Published

5 days ago

April 10, 2026

The Tide

The recent approval of the “Exit Benefit Scheme” by the Federal Executive Council (FEC) stands as a landmark achievement for the administration of President Bola Tinubu. For many observers, this remains one of the most impactful and compassionate policies introduced by the current government. By restoring a sense of financial dignity to those who have dedicated their lives to national service, the administration has demonstrated a clear commitment to the welfare of the Nigerian workforce.

Under this new framework, retirees of the Federal Civil Service are set to receive a gratuity equal to 100 per cent of their last gross annual pay upon retirement. This policy, which officially comes into effect on 1 January 2026, ensures that Federal civil servants are not left stranded the moment they exit the office. It provides a vital financial cushion that has been sorely missing from the lives of many public servants for over two decades.

The primary objective of this scheme is to bolster financial security by providing a significant lump sum payment to eligible employees who have served for at least 10 years. Crucially, this benefit does not exist in isolation; it is designed to work alongside the existing Contributory Pension Scheme (CPS). This dual-layered approach ensures that the immediate transition into retirement is as seamless as the long-term pension disbursements that follow.

It is important to clarify that this new benefit is intended to complement, rather than replace, the current CPS managed by Pension Fund Administrators (PFAs). For years, the pure contributory framework left a void where the traditional gratuity once stood. By reintroducing this payment, the Federal Government is addressing a long-standing grievance regarding the adequacy of the total retirement package available to civil servants.

This policy marks a historic return to gratuity payments for Federal Civil Servants after a lengthy hiatus. Since the pension reforms of the early 2000s, the focus has been strictly on contributions, often leaving retirees with a “waiting period” that can be financially devastating. The return of the gratuity signals a shift back toward a more holistic view of worker appreciation and social security.

Indeed, this payment comes exactly 22 years after the introduction of the Contributory Pension Scheme in 2004. The two-decade gap saw many retirees struggle to adjust to life after service without a substantial initial payout. This intervention demonstrates the Federal Government’s ongoing commitment to policies that promote improved welfare and secure the future of the civil service in a tangible, measurable way.

By reversing the lack of gratuity inherent in the previous purely contributory model, the government has earned the rare and resounding praise of organised labour. The Nigeria Labour Congress (NLC) has rightly described this move as a major welfare upgrade. This endorsement highlights the alignment between the government’s policy direction and the actual needs of the Nigerian worker on the street.

We commend President Tinubu for this watershed approval. The new gratuity payment is a sincere reflection of the administration’s recognition of the dedication, sacrifice, and professionalism inherent in the Federal Civil Service. It acknowledges that those who build the nation’s administrative backbone deserve more than just a handshake and a promise of future monthly stipends when they finally step down.

However, the pursuit of social justice must not end with Federal workers alone. We strongly advocate that this initiative trickles down to the various states. The Governor’s Forum should meet as a matter of urgency to approve and adopt the Federal Government’s template. If the central government can find the means to honour its retirees, the states—who are the primary employers of the bulk of the nation’s workforce—should follow suit.

It is a painful reality that many workers retire from service today with nothing to take home on their final day. Pensions frequently take months to process, and in many jurisdictions, gratuities take “forever” to be disbursed. This is why the Exit Benefit Scheme is the true embodiment of Tinubu’s “Renewed Hope Agenda.” There is perhaps nothing that offers more hope to a weary worker than the certainty of a dignified exit.

Shamefully, several state governments are still battling with legacy gratuity payments from years past. Adopting a scheme like this would serve as an essential cushion while long-term arrears are settled. No citizen should face destitution or death simply because they rendered service to their government. It is time to end the era where retirees survive on mere trickles; even a modest lump sum can be the difference between a dignified retirement and a tragic one.

Specifically, we call upon the Rivers State Government to adopt this scheme to give life to its pensioners. The Federal Government has already provided the successful template; there is no need to reinvent the wheel. We must ask: if political office holders are entitled to generous severance benefits after just four or at most eight years, why should civil servants who serve for 35 years go without a similar “severance” package?

In Rivers State, the need for clarity is urgent. Workers who left the service after June last year face the uncertainty of whether they fall under the Defined Benefit Scheme or the Contributory Pension Scheme. The state government must resolve this administrative ambiguity immediately to prevent a full-blown pension crisis. Domesticating the Federal “largesse” should be straightforward, as Rivers is a state blessed with the necessary resources.

Governor Siminalayi Fubara, a former civil servant, understands the plight of the worker better than most. While we commend his administration for paying one of the highest minimum wages in the country, he has the opportunity to go further by becoming the first governor to implement the 100 per cent Exit Benefit Scheme. With this, he can ensure that Rivers State workers, who deserve the best, are truly rewarded for their service.

Let Rivers lead where others have lagged.

Editorial

Task Before New IGP

Published

2 weeks ago

April 2, 2026

The Tide

The appointment of Olatunji Disu as Inspector-General of Police following the resignation of Kayode Egbetokun marks a significant turning point for the Nigeria Police Force. Announced by President Bola Tinubu, the change in leadership comes at a time when the country is grappling with serious security concerns. Disu’s emergence has already drawn national attention, given both the urgency of the situation and the expectations placed upon him.

Upon confirmation of his appointment, Disu pledged to justify the confidence reposed in him. Central to his promise is a firm commitment to end impunity and enforce a zero-tolerance policy towards corruption within the force. Such assurances, though commendable, will ultimately be judged by the practical steps he takes in the coming months.

The new IGP also emphasised the importance of public cooperation in effective policing. He rightly noted that no police force anywhere in the world can succeed without the support of the people it serves. This acknowledgement highlights the critical relationship between law enforcement and the community, a relationship that has long been strained in Nigeria.

While congratulating Disu on his elevation, it is important to recognise the enormity of the task before him. He assumes office at a particularly difficult time, as underscored by the President during the decoration ceremony. Nigeria’s security landscape remains fragile, requiring decisive leadership and immediate action.

President Tinubu described the appointment as coming at a defining moment for national security. He urged the new police chief to restore public confidence and improve the institution he now leads. The expectation is not merely to maintain the status quo, but to leave the force better than he met it.

The security challenges confronting the nation are considerable. From banditry and terrorism to organised crime and communal conflicts, the threats are diverse and deeply entrenched. These issues have not only endangered lives and property but have also heightened public anxiety across the country.

Ironically, the police, who are meant to be at the forefront of restoring law and order, are themselves beset by internal challenges. Issues such as poor welfare, inadequate training, and systemic corruption have weakened the institution’s effectiveness. This dual burden makes Disu’s assignment even more complex.

A key priority for the new IGP must, therefore, be to restore peace and rebuild confidence, both within the force and among the general public. For many Nigerians, the police are no longer seen as protectors but as adversaries. This perception, whether wholly justified or not, must be urgently addressed.

Cleaning up the force and restoring its credibility will require more than rhetoric. Disu has already made the necessary commitments, but Nigerians will expect tangible results. Institutional reform must be thorough, transparent, and sustained if it is to yield meaningful change.

Equally important is the welfare of police personnel. Many officers operate under extremely poor conditions, with inadequate facilities and insufficient resources. Numerous police stations across the country are in a deplorable state, lacking basic equipment needed for effective policing.

No organisation can function optimally under such circumstances. If the police are to fulfil their constitutional mandate, they must be properly equipped and motivated. Addressing issues of welfare and infrastructure will go a long way in boosting morale and enhancing performance.

The list of challenges before the new police chief is extensive. From modernising equipment to improving training and discipline, the reforms required are wide-ranging. It is hoped that Disu will take the time to carefully assess these issues and implement practical solutions.

His appointment also comes amid growing calls for the establishment of state police. There is now a broad national consensus that the current centralised policing system is inadequate for addressing local security challenges. This debate has brought renewed attention to constitutional provisions governing policing in Nigeria.

While concerns about the potential pitfalls of state policing remain, its advantages appear increasingly compelling. Managing this transition, if it materialises, will be another critical responsibility for Disu. Ultimately, he assumes office with considerable goodwill, but his success will depend on his ability to translate promises into measurable improvements.

The success or failure of Olatunji Disu will be measured not by promises made but by results achieved. Nigerians yearn for a police force that is professional, accountable, and truly committed to their safety. If Disu can rise to this moment, confront entrenched challenges with courage, and drive meaningful reform, he will not only justify his appointment but also leave a lasting legacy in the annals of policing in Nigeria.

Editorial

Nigeria: Cushioning Effects Of M’East Crisis

Published

2 weeks ago

March 30, 2026

The Tide

The ongoing crisis in the Middle East between the United States and Israel on one hand and Iran on the other has once again unsettled global stability, with escalating tensions disrupting oil production routes and threatening key supply chains. Conflicts involving major oil-producing nations and strategic waterways have created uncertainty in the international energy market. As history has repeatedly shown, instability in this region often sends shockwaves across the global economy, particularly in energy-dependent countries.

One of the most immediate consequences of this war has been a sharp rise in global crude oil prices. Brent Crude has surged between $105 and $110 per barrel in recent weeks, reflecting fears of supply shortages. This increase has translated into higher fuel costs worldwide, placing immense pressure on both developed and developing economies.

Nigeria, despite being a major crude oil producer, has not been spared. The country’s heavy reliance on imported refined petroleum products has meant that global price increases directly affect domestic fuel costs. Rather than benefiting fully from higher crude prices, Nigerians are grappling with the paradox of rising oil wealth alongside worsening living conditions.

The impact on the cost of living has been severe. Transportation fares across major cities have increased by over 50 per cent, while food inflation has climbed above 30 per cent, according to recent data from the National Bureau of Statistics (NBS). The ripple effect of higher fuel prices has touched every sector, from agriculture to manufacturing, making basic goods increasingly unaffordable for ordinary citizens.

In response to this growing hardship, the Nigeria Labour Congress (NLC) has demanded urgent intervention from the Federal Government to cushion the effects of the recent spike in petrol prices occasioned by the Middle East crisis. The call reflects widespread frustration among workers and the broader population.

The NLC made this demand in a statement titled “Save Nigerians From This Shock: An Urgent Relief Has Become Necessary,” signed by its President, Joe Ajaero. The statement underscores the urgency of the situation and highlights the growing disconnect between government policy and the lived realities of citizens.

We strongly support the NLC’s clarion call and urge the administration of President Bola Tinubu to take immediate and decisive steps to cushion the harsh effects of the crisis on Nigerians. Leadership at this critical moment requires bold, people-centred policies that prioritise national welfare over market orthodoxy.

One such step is the reintroduction of a fuel subsidy, funded by the gains from the current surge in global crude oil prices. The government could choose to subsidise either the finished petroleum products or the crude supplied to local refiners. Providing crude at reduced rates to Aliko Dangote refinery would significantly lower the final pump price for consumers.

This brings into focus the role of Dangote, whose refinery has the potential to transform Nigeria’s energy landscape. Dangote has stated that the Federal Government currently supplies only 30 per cent of the crude required for his refinery, compelling him to import the remaining 70 per cent. For a country that produces millions of barrels daily, this situation is both inefficient and unacceptable.

Beyond fuel pricing, there is a pressing need for direct support to workers. A cost-of-living allowance, a wage award, and targeted tax relief measures would provide immediate relief. At the same time, the government must take concrete steps to revive Nigeria’s dormant public refineries, which have long been a drain on public resources without delivering value.

The sharp rise in fuel prices, now selling at approximately N1,310 to N1,400 per litre in many parts of the country, has deepened economic hardship. For millions of Nigerians, daily survival has become a struggle. Without urgent intervention, the nation risks severe social unrest, as frustration continues to mount among the populace.

It is deeply troubling that the Federal Government appears to have left Nigerians at the mercy of volatile global oil prices triggered by the Middle East imbroglio. This situation has exposed the fragility of the downstream petroleum sector and highlighted the failure to build resilience despite decades of oil wealth.

As long as Nigeria remains tied to a market-driven pricing structure dictated by global fluctuations and continues to neglect its domestic refining capacity, it will remain vulnerable to external shocks. International conflicts and speculative market forces will continue to dictate the economic fate of Nigerian households.

Nigerian workers are being pauperised and subjected to immense suffering. They are not mere statistics; they are the engine of the nation’s economy. When that engine overheats, the entire system risks collapse. Ignoring their plight is not just unjust—it is economically reckless.

Finally, the estimated N30 trillion oil windfall expected from the current crisis must not be squandered as in the past. These resources should be transparently managed and invested in social protection programmes, infrastructure, and economic stabilisation. In addition, Nigeria must develop robust crude storage systems, as seen in other countries, to cushion future shocks. Failure to properly manage the energy situation could further accelerate inflation, compounding the already substantial burden on citizens.