Nigeria Labour Congress (NLC) President Ayuba Wabba has warned employers against non-remittance of pension funds, saying their action is a threat to the contributory pension scheme.
Speaking at the Annual General Meeting (AGM) of Trustfund in Abuja, Wabba, a director in the organisation, lauded the Pension Fund Administrator (PFA), saying the NLC had directed its sectoral unions to compile names of organisations that deduct workers’ money but fail to remit it.
He said: “During my visit to some of our sectoral unions, I urged them to follow up on the employers that deducted but failed to remit, and ensure that the right thing is done for the benefit of the working class. Where any employer refuses to comply, the national secretariat will step in. It is criminal for any employer not to remit deducted money because the law makes it compulsory for every employer to remit pension funds.”
He lauded Trustfund Managing Director Mrs. Helen Da-Souza for ensuring that the PFA stayed afloat, and declaring a dividend in an unfriendly environment occasioned by the recession.
“There are challenges with the remittances of deducted fund especially by the employers, including state governments as they often fail to remit these funds. The trust fund is able to overcome the challenges because of the ownership structure of the organisation. Labour presence on the board of Trustfund ensures that the policies and operations of the organisation are tailored towards enhancing the well-being of workers and guarantee maximum return on investment.”
In a related event, Wabba has commended the National Assembly for passing into law a bill on Local Government autonomy. He gave this commendation at a briefing in Abuja.
He said the National Assembly deserved commendations for voting in favour of local government autonomy, despite pressure from interest groups.
Wabba was optimistic that, if assented to, the amendments would free the local governments from the strangle-hold of state governments, and widen the democratic space as well as restore the lost glory of local governments.