THE Federal Government, yesterday, in Abuja, approved the second phase of the electronic Nigeria Social Insurance Trust Fund, which will enable concessionaires to upgrade the infrastructure at the sum of N15bn.
Minister of Labour and Employment, Dr Chris Ngige, disclosed this to State House Correspondents at this week’s Federal Executive Council meeting, presided over by Vice President Yemi Osinbajo at the Council Chambers of the Presidential Villa, Abuja.
Ngige also revealed that the council approved the amendment of outdated labour laws to meet globally accepted standards prescribed by the International Labour Organisation.
He said, “This memo is for the electronic NSITF. Nigeria now operates the old Workmen Compensation Act, now Employee Compensation Act 2010.
“Therefore, we are trying to align the contributions of NSITF to make it fraud-free. People should be able to easily make workers’ contributions, even from the comfort of their offices, and generate certificates.
“You know that the ECA makes it mandatory for all employers to insure their workers through a token contribution of a per cent of their emolument to the social trust fund of the NSITF.
“And that is the fund with which if you have an accident or disease condition or debt or disability in the course of work, you can make a claim, like an insurance claim.”
He said Wednesday’s approval is meant to refine the process to avoid revenue losses to the labour-employing organisations.
“Now is for a concessionaire to come and do infrastructure and upgrade it in the neighbourhood of N15bn and then after that, it will take some percentage on incremental revenue that accrued. It will make the form more liquid now and we’ll be able to do our functions appropriately.
“So, the council gave the go ahead today and approved it and directed ICRC who is the body authorised by law to enter into such a concession, to continue the process and liaise with the Office of the Attorney-General of the Federation,” Ngige said.
