NLC Gives FG 7-Day Ultimatum to Return ‘Diverted’ NSITF Funds, Constitute PENCOM Board or Face Industrial Action

By SpringnewsNG Media Limited August 15,2025

The Nigeria Labour Congress (NLC) has issued a seven-day ultimatum to the Federal Government to return all allegedly diverted funds from the Nigeria Social Insurance Trust Fund (NSITF) and immediately constitute the Governing Board of the National Pension Commission (PENCOM).

In a statement released after its Central Working Committee (CWC) meeting on Thursday, NLC President Joe Ajaero accused the government of unlawfully diverting 40% of workers’ contributions to the national coffers as “revenue,” describing it as a clear violation of the NSITF’s establishing statutes.

The CWC also condemned the continued non-constitution of the PENCOM board, warning that the vacuum contravenes the PENCOM Act, strips away statutory tripartite oversight, and increases the risk of mismanagement and political interference in pension funds.

“Pension funds are deferred wages, not state revenue. The NSITF belongs to the Nigerian working class, and we will mobilise all legitimate means to protect workers’ interests,” the statement read.

Edo State NLC Leadership Dissolved

The meeting also addressed a leadership crisis in the Edo State Council of the NLC, ratifying the dissolution of the State Administrative Council over alleged unethical behaviour, anti-union activities, and breaches of the NLC Constitution. A Caretaker Committee has been appointed to run the council until fresh elections are held.

Crackdown on Government’s Actions

The union accused the Federal Government of making false claims of ownership of the NLC National Headquarters, attempting to amend the NSITF Act to give the government full control of workers’ funds, and engaging in “cyber and media bullying” of labour leaders.

The CWC further expressed concern over the worsening economic crisis marked by runaway inflation, unemployment, hunger, insecurity, and collapsing public services, blaming anti-people neoliberal policies for deepening poverty in the country.

Ultimatum and Threat of Strike

The NLC has demanded that within seven working days:

• All diverted NSITF funds must be returned.
• The PENCOM Governing Board must be properly constituted in compliance with the law.
• The Pension Commission must submit a full status report of pension funds to the NLC.

Failure to meet these demands, the statement warned, would leave the NLC with no choice but to withdraw its guarantee of industrial peace in the sector.

“If by the end of the seven working days nothing is done, the NLC will no longer guarantee industrial peace in the sector,” the CWC resolved.