FG orders MDAs to commence mandatory employees’ compensation contributions to NSITF
The Federal Government has ordered all Ministries, Departments and Agencies (MDAs) to immediately commence the mandatory contributions of one percent of the emoluments of all public servants to the Employees’ Compensation Scheme of the Nigeria Social Insurance Trust Fund (NSITF).
The Federal Government made this known via a circular dated September 22, 2023 and signed by the Secretary to the Government of the Federation, Senator George Akume and copied to all arms of the federal government and agencies under them.
The SGF recalled that the Extraordinary Session of Federal Executive Council (FEC) under President Buhari had on Monday, May 15, 2023 given approval for statutory one percent e-deduction from the total emoluments of the Federal Public Servants as Employee Compensation contributions, with effect from January 2023.
The circular stated that the Minister of Finance is directed to “deduct the contributions from source and remit same to the NSITF for the payment of claims and compensations to deserving beneficiaries for death, injury, disease or disability sustained in the course of duty as provided in the Employees’ Compensation Act, 2010, Act No. 13.” It further directed all ministries, departments and agencies to “ensure strict compliance with the circular.”
Breaking the news on the Federal Government Circular while on an official visit to the new office, housing the Abuja Region and FCT Branch of the Fund in the Maitama area, Friday, the Managing Director of the NSITF, Barr. Maureen Allagoa eulogised the bold decision of the Federal Government, saying that the Fund has further been energised to deliver on its responsibilities to the Nigerian workers.
The MD in a statement issued by the General Manager, Corporate Affairs of f the Fund, Nwachukwu Godson, was quoted as saying, “Yesterday, we received a circular from the office of the Secretary to the Government of the Federation, making it compulsory for 1 percent contribution from the total emoluments of public servants to be compulsorily remitted to the NSITF in view of the Employees’ Compensation Act.
“This is a giant plus to our charge as the nation’s core social security agency as it will give a big push to the momentum of our operations in their ramifications. There shall be no excuses on our own part in fully keying into the Renewed Hope Agenda of the Federal Government. The effort is collective and we shall not rest on our oars until we reach out to all Nigerian workers whether in the formal or informal sector.”
She also stated that the fact that the current Federal Government has taken this “bold and great step means we are moving in the right direction.” Observing that the urgency given to securing a new office for the Abuja region and the FCT branch was in line with her commitment to decent work, Allagoa re-assured the workers of “rights at work, human dignity, social protection and dialogue in line with the Decent Work Agenda of the International Labour Organisation.”
“We have gone round and observed some challenges which will be tackled forthwith. Staff should feel comfortable, your welfare is key because once we get the staff welfare correct, everything falls in place in terms of performance.
“Earlier in the year, some buses were procured and sent to offices in each region to ease operations. And recently, we received another batch of ten buses for distribution while the rest will come at the end of the year.
“To further boost morale, management is putting together a reward package for those staff who personally and collectively distinguish themselves in the performance of duty. The measure will spur others on.
“Besides, we are working out a new three-tier structure for MPR. First is the monthly online engagement with branch and regional managers to keep track of their performance, then the quarterly regional MPR – where two or three regions will be brought together at a centre with delegates sent from the head office and finally, the biannual MPR.”
She equally commended the staff of the Abuja region and the branch for their sterling performance in meeting up with their targets. Allagoa was accompanied on the visit by the Executive Director, Finance, Adegoke Adedeji, who urged staff members to remain resilient, General Manager, Compliance, Kabir Maaji, General Manager, Jonah Nedamanya among others.
