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NSITF Pays N546m to Work Place Victims

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Insurance - Investors King
  • NSITF Pays N546m to Work Place Victims

The Nigeria Social Insurance Trust Fund (NSITF) has so far paid over half a billion naira as compensation to victims of work place accident under the Employee Compensation Scheme since it’s inception.

Managing Directorof the Fund, Adebayo Somefun, who stated this at the NSITFspecial day at the Abuja Trade fair, said a total of N545 million has so far been paid out by the fund.

This include N202.9 million as Health Medical Refund, N261 Million paid as Death Benefit, N74 million as Disability Benefit and N8 million paid to employers for Loss of Productivity for employers (amongst others).

He said the ECS basically provides social security for employees who sustain injuries in the course of employment or their dependants in the case of death: it further encourages occupational safety and health standards in the workplace.

He listed the contingencies covered by this unique scheme to include compensation for injuries, mental stress, occupational diseases, hearing impairment, permanent or temporary disability and even vocational rehabilitation as well as covering for benefits of deceased employees whose families’ fortunes are upheld even after the passing away of their bread winners.

He stressed that all these have served as massive incentives for enhanced productivity and economic development as Nigerian workers are assured of a guaranteed livelihood.

Speaking on the achievement of fund since it was established, Somefun said “as a Fund, NSITF has been making giant strides and in the last one year alone, the Fund has paid for 42 artificial limbs/parts to cater for workers who lost their limbs etc, while carrying out their duties at work. It would interest you to know that the 42 beneficiaries of the artificial limbs/parts are currently being fitted and trained on how to move on with their lives as we speak.

“However, it is not only about the limbs, the Employees’ Compensation Scheme provides for other categories of benefits. Between January 2017 and June 2013, the Fund has paid N835, 318, 858, 62Kobo to beneficiaries as claims and compensation”

“This is to say that those who have benefitted from this special scheme run by the Fund include 298 injured employees placed on monthly or periodic payment. Those on periodic payments are employees still in their productive years of 55 and below who are no longer functioning effectively because of workplace/related injuries. Twenty (20) persons above the age of 55 years have been paid lump sums on a once-off basis.

“In order to cushion the burden on families of deceased employees who died in the course of work, the Fund has paid forty-one (41) lump sums for accidents/diseases resulting in death of the employees and is currently paying 226 families monthly benefits, one of which receives N1.5 Million monthly.”

He said further that to access these benefits, the employer – government or private/individual is required to pay onIy one percent (1%) of total payroll of the employees to the NSITF, and this is at no cost to the employee! Once that is done, it becomes the duty of NSITF to carry the burden which otherwise would have gone to the employer where there is a workplace injury, death or disability.

He sais “the beauty of the scheme is that it is a “no-fault” scheme, and covers all categories of workers in every sector of employment. As the law enabling the scheme stipulates, every organisation that employs even one worker is under statutory obligation to register for the ECS: these include domestic staff. It also emphasises that failure to do so amounts to a breach of the law.

“According to Section 73 of the EEA; “an employee means “a person employed by an employer under oral or written contract of employment whether on continuous part-time, temporary, apprenticeship or casual basis and includes a domestic servant who is not a member of the family of the employer including any person employed in the Federal, State and local governments and any of the government agencies and in the formal and informal sectors of the economy.

“While I reiterate that every Nigerian worker deserves the best and must be made to have a sense of value, let me state that when a worker knows that his future is secured in the case of injury while performing his functions, he/she has a deeper sense of commitment to the employer.

“To make the process of keying into the scheme easier, the Fund has introduced a digital platform that is called Electronic Collection, Compliance and Compensation (EC4), to galvanise enforcement compliance, claims and compensation activities as well as the overall operations at the Fund. This enables employers to easily register, pay contributions, access their ECS status and make claims, all online and in real time from the comfort of their offices/ homes.”

He expressed confidence that with its track record of successes in managing social security schemes since its establishment, the Nigeria Social Insurance Trust Fund is poised to undertake its mandate with impeccable responsibility. It is on this premise that we, not only celebrate the success story at the Employees’ Compensation Scheme, but urge and spur all employers to step forward and ensure the welfare of their employees.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Company News

Axxela Limited Raises N16.4bn in Oversubscribed Bond Issuance

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Bonds- Investors King

Axxela Limited, a leading sub-Saharan African gas and power company, has successfully completed its N15 billion Series 1 Bond Issuance.

The company raised N16.4 billion due to oversubscription and investor confidence in the company’s financial strength and strategic direction.

Bolaji Osunsanya, Axxela’s Chief Executive Officer, expressed his satisfaction with the outcome, highlighting the bond’s oversubscription of 109%.

Despite challenging economic conditions marked by rising interest rates and limited market liquidity, Axxela’s bond offering attracted strong interest from a diverse group of investors, including pension fund administrators, asset managers, and high-net-worth individuals.

Osunsanya explained that the proceeds from the bond issuance would play a crucial role in funding the company’s long-term capital expenditures, managing its weighted average cost of capital, and diversifying its funding sources.

The funds will support the completion of ongoing gas pipeline projects across Nigeria, aligning with the company’s commitment to enhancing energy infrastructure and contributing to the country’s energy transition agenda.

Stanbic IBTC Capital, serving as the lead issuing house alongside seven joint issuing houses, played a pivotal role in facilitating the transaction, with Stanbic IBTC Bank acting as the transaction bank.

The successful bond issuance reflects Axxela’s strategic positioning as a key player in the region’s energy sector and its ability to leverage strong investor confidence to drive growth and innovation in the industry.

As Axxela continues to expand its presence and strengthen its operations, the oversubscribed bond issuance serves as a testament to the company’s resilience and its commitment to delivering value to shareholders and stakeholders alike.

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Company News

Dangote Refinery Continues Price Slashing: Diesel Now at ₦940/Litre, Aviation Fuel at ₦980/Litre

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Dangote Refinery

Dangote Petroleum Refinery has once again sent ripples through Nigeria’s fuel market by further reducing the prices of diesel and aviation fuel.

In a bid to alleviate economic hardships faced by Nigerians, the refinery has lowered the price of diesel to ₦940 per litre and aviation fuel to ₦980 per litre.

This latest move comes on the heels of the refinery’s recent price reduction to ₦1,000 per litre for diesel, which was celebrated across the country.

The decision to slash prices further underscores Dangote Refinery’s commitment to providing affordable fuel to consumers.

Anthony Chiejina, the Head of Communication at Dangote Petroleum Refinery, announced the development.

He revealed that the new prices are part of a strategic partnership with MRS Oil and Gas stations to ensure accessibility and affordability of fuel across all major locations, including Lagos and Maiduguri.

The refinery’s management expressed optimism that the price reduction would significantly ease the financial burden on consumers, particularly amid rising inflation and energy costs.

They also hinted at extending the partnership to other major oil marketers to ensure uniform pricing and prevent retail buyers from purchasing fuel at exorbitant prices.

This marks the third major reduction in diesel prices in less than three weeks, signaling Dangote Refinery’s proactive approach to addressing economic challenges.

The move has garnered praise from various quarters, with Nigerian President Bola Tinubu commending the refinery for its efforts to support the economy.

Industry experts, including Ajayi Kadiri, the Director General of the Manufacturers Association of Nigeria, lauded the refinery’s initiative, highlighting its potential to stimulate economic activities across critical sectors such as industrial operations, transportation, logistics, and agriculture.

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Appointments

First Bank of Nigeria Appoints Olusegun Alebiosu as Acting CEO Following Resignation of Dr. Adesola Adeduntan

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Olusegun Alebiosu

First Bank of Nigeria Limited, a subsidiary of FBN Holdings PLC, has announced the appointment of Mr. Olusegun Alebiosu as its Acting Chief Executive Officer (CEO).

This decision comes in the wake of the resignation of Dr. Adesola Adeduntan, who has led the bank for the past nine years.

The appointment, which takes immediate effect, is subject to the approval of the Central Bank of Nigeria (CBN), reflecting the bank’s commitment to regulatory compliance and governance standards.

Mr. Alebiosu, a seasoned banking professional with over three decades of experience, is well-prepared to take on the responsibilities of leading First Bank Nigeria during this transition period.

Having served as the Executive Director and Chief Risk Officer, he played a pivotal role in the transformation and growth of the institution over the past eight years.

His extensive experience spans various aspects of the banking and financial services industry, including credit risk management, financial planning, corporate and commercial banking, and project financing.

Before joining First Bank Nigeria in 2016, Mr. Alebiosu held key positions in renowned financial institutions such as Coronation Merchant Bank Limited and the African Development Bank Group.

Expressing gratitude for Dr. Adeduntan’s exemplary leadership, the Board of Directors acknowledged his significant contributions to the bank’s growth and success during his tenure.

Dr. Adeduntan’s departure marks the end of an era characterized by remarkable achievements and milestones for First Bank Nigeria.

As Acting CEO, Mr. Alebiosu is poised to build upon the bank’s legacy and steer it towards continued growth and profitability. With a strong focus on strategic objectives, he aims to uphold First Bank Nigeria’s reputation as a leading financial institution in Nigeria and beyond.

In his new role, Mr. Alebiosu will work closely with the Board of Directors and management team to ensure seamless operations and uphold the bank’s commitment to delivering exceptional services to its customers.

As the banking industry undergoes rapid transformation and evolving regulatory landscape, First Bank Nigeria remains committed to maintaining its position as a trusted financial partner for individuals and businesses across the country.

With Mr. Alebiosu at the helm, the bank looks forward to a new chapter of innovation, resilience, and sustainable growth.

The appointment of Mr. Olusegun Alebiosu underscores First Bank Nigeria’s commitment to continuity and stability amidst leadership changes, signaling confidence in his ability to lead the bank through its next phase of growth and development.

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