THE MANAGING Director of the Nigeria Social Insurance Trust Fund (NSITF), Barrister Oluwaseun Faleye, has expressed concern over the low level of compliance by state governments in enrolling their workers in the Employee Compensation Scheme (ECS).
Faleye made this remark during a courtesy visit to the President of the Nigeria Labour Congress (NLC), Comrade Joe Ajaero, at the Labour House in Abuja on Tuesday.
He emphasized that the failure of state governments to participate in the scheme exposes workers to significant risks, as they are denied crucial protections in cases of workplace injuries, diseases, or fatalities.
“The non-compliance speaks to the vulnerability of workers when key protection mechanisms designed for their welfare are not utilized for one reason or another,” Faleye stated.
Clarifying misconceptions about the NSITF’s role, the Managing Director explained that the Fund is not a revenue-generating agency but rather an institution dedicated to safeguarding workers’ welfare.
He outlined the core mandate of the NSITF, which includes providing compensation and rehabilitation for employees affected by work-related accidents, illnesses, or deaths, as well as promoting occupational safety and health standards.
Faleye further noted that the Fund’s investments are geared toward ensuring sustainability rather than profit-making, reinforcing its commitment to workers’ well-being.
Seeking stronger collaboration, the NSITF Managing Director called for a partnership with the NLC to leverage the labour union’s extensive reach and influence in boosting enrollment into the ECS.
He reminded the NLC leadership of its critical role as a stakeholder in the Fund, given its representation on the NSITF’s Management Board. Faleye also appealed to the shared objective of both organizations, emphasizing that workers’ welfare remains their paramount interest.
The visit formed part of Faleye’s broader strategy to expand ECS enrolment through stakeholder engagement, public sensitization, and inter-agency cooperation.
The Employee Compensation Act, which established the ECS, mandates all employers — both in the public and private sectors — to contribute 1% of their employees’ monthly payroll to the Fund. The NSITF is legally empowered to provide compensation, indemnity, and rehabilitation for workers affected by occupational hazards.
In his response, NLC President Comrade Joe Ajaero assured the NSITF of the organized labour’s support in ensuring compliance with the ECS. He described the scheme as a laudable initiative aimed at improving the welfare of the working class and expressed optimism about the NSITF’s capacity to effectively manage social security in Nigeria.
Ajaero pledged the NLC’s commitment to supporting the Fund’s awareness campaigns, which are designed to enhance nationwide compliance with the ECS.
This engagement underscores the ongoing efforts to strengthen workplace safety nets and ensure that Nigerian workers benefit from the protections enshrined in the Employee Compensation Act.
