NSITF Calls for Stricter Enforcement of Employee Compensation Scheme

ABUJA – The Nigeria Social Insurance Trust Fund (NSITF) is advocating for stronger legal enforcement to ensure all employers, particularly in high-risk sectors like oil and gas, comply with the Employees’ Compensation Scheme (ECS).

Managing Director Barr. Oluwaseun Faleye, represented by Abuja Regional Manager Mrs. Bridget Ashang, stated that the Fund is shifting its strategy from persuasion to strict enforcement. He emphasized that compliance is a “moral duty and an ethical necessity,” especially in industries with significant occupational hazards.

The ECS, established by the Employees’ Compensation Act of 2010, requires employers to contribute 1% of their employees’ monthly payroll to provide compensation for workplace injuries, diseases, or death.

Key challenges identified include non-compliance, evasion of payments, and the casualization of labour. To address this, the NSITF is pushing for a review of the Act to impose heavier penalties on defaulters and make ECS compliance a mandatory requirement for business licensing and renewal.

©CDA News

Disclaimer: The views and opinions expressed in this article are those of the Nigeria Social Insurance Trust Fund (NSITF) and do not necessarily reflect the official policy or position of CDA News.

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