FG satisfies two demands of Nigerian workers in the face of economic shutdown threat

In the midst of a strike ultimatum, the Nigerian government allegedly granted the Nigerian Labour Congress two crucial demands.

The demands include the nomination of Opeyemi Agbaje as head of the National Pension Commission and the reversal of the 40% deduction from the Nigeria Social Insurance Trust Fund into the national treasury.

At the time of this report’s writing, PenCom had not formally confirmed Agbaje’s nomination.
You may remember that last week, NLC president Joe Ajaero gave President Bola Ahmed Tinubu seven days to shut down the economy in a statement.
The formation of the PenCom board and the transfer of worker monies held by the NSITF were demands made by the NLCs.

Nevertheless, the demands have been met by the federal government, according to reports.

Managing Director Oluwaseun Faleye of the NSITF wrote to the NLC on August 16, 2025, saying, “No further deductions would be made from either contributions or investment proceeds.”

Faleye verified in the letter that all Federal Government-owned firms would have 50% of their internally produced revenue automatically deducted per the Federal Ministry of Finance circular (Ref: FMFCME/OTHERS/IGR/CFR/21/2021) dated December 28, 2023.

According to NSITF, a directive from the Accountant-General of the Federation in March 2024 stated that the agency would no longer deduct the contributions paid by employers. These contributions are considered statutory liabilities and not government revenue. Additionally, some of the funds that had been deducted have already been reversed.

We have received confirmation that this issue will be resolved. The NSITF claimed in the letter viewed by XANDERTECH that no additional deductions will be imposed from either contributions or investment proceeds. This commitment was made in August 2025 during discussions between the Minister of Finance and the Director-General of the Budget Office.

Christopher Onyeka, secretary of the NLC, responded to the news by confirming receipt of the letter and saying that the executive council will examine it before making a decision on the planned strike.
Workers can get compensation if they get hurt on the job according to the NSITF. They shouldn’t be used for budgetary reasons because they aren’t government revenue.

“We are responsible for safeguarding these funds,” he emphasised.