Buhari Suspends Inauguration of NSITF Board
- Buhari to inaugurate Fund led by Austin Enejamo-Isire on Monday.
- NSITF is empowered to implement ECA 2010 with a mandate to insure workers and pay them compensation for accidents, deaths and injuries in the course of work.
The Presidency has announced that President Muhammadu Buhari on Sunday approved the suspension of the inauguration of the Board of the Nigeria Social Insurance Trust Fund (NSITF).
According to a statement released by Special Adviser to the President on Media and Publicity, Femi Adesina, the president also approved the appointment of Austin Enejamo-Isire as Chairman of the Board based on the recommendations of the Minister of Labour and Employment, Chris Ngige.
While also condemned the skirmishes that took place at the private residence of the Minister on the early hours of last Wednesday, the Presidency stated that there were ongoing efforts to reconcile the Minister and the leadership of the Nigeria Labour Congress (NLC.) and the Fund’s board led by Enejamo-Isire and other members will be inaugurated on Monday.
The Presidency also stated that all actions taken by the Minister in the resuscitation of the Fund as well as the administrative probe panel had President Buhari’s approval.
According to the law that created the Fund, it is a hundred percent, Federal Government of Nigeria owned insurance parastatal, under the supervision of the Federal Ministry of Labour and Employment, designed for the role of insuring workers (employees) in the public and private sectors.
NSITF is empowered by law to implement the Employee Compensation Act (ECA) 2010 with a mandate to insure workers and pay them compensation for accidents, deaths and injuries in the course of work.
It also noted that the Fund was bedevilled and riddled with corruption between 2012 – 2015, which resulted in a colossal loss and mismanagement of about N48 billion out of the total N62 billion contributions by the Employers – viz government and the private sector for payment of compensation to workers and even to Employers for loss of man-hours by their workers during the said period.
“This fraud has been investigated by the Economic and Financial Crimes Commission (EFCC) and the last Chairman and some members of the former board and some officials of the NSITF are presently being prosecuted by the EFCC.
“All actions taken by the Honourable Minister of Labour and Employment towards the resuscitation and repositioning of this ailing agency, including the Administrative Panel of Inquiry into the affairs of NSITF and the suspension of the inauguration of the board in 2018 were part of the special work plan approved for the Honourable Minister by Mr. President.”
