Mass sack: FG issues warning to banks, telecom companies

The federal government has threatened to withdraw the operating license of any bank or telecommunication company that breaches its directive to stop mass sack of workers.

The Minister of Labour and Employment, Chris Ngige, who gave the warning at the ongoing 105th session of the International Labour Congress, ILC, in Geneva, Switzerland on Tuesday, June 7, said that government would sanction erring companies because government had a duty to protect jobs in this harsh economy.  According to Vanguard, the minister who expressed shock that employers in the financial sector, especially banks were breaching its directives to stop further retrenchment said the government will not keep silent while workers were being mistreated in their own country.

He said: “We will go a step further if they continue. We know what to do. After all, the banks have the licenses giving by the government.

“We know what to do. They need to comply. They need to come to the negotiation table. We did (halted the spate of sack to hold a stakeholders meeting) that in the oil industry and we succeeded. Even if you are going to lay off, there is a way to declare redundancy, there is a process.

“Section 20 of the Labour Act says it. You must call the unions and discuss with them. You don’t just treat them as slaves in their own country and you want us to keep quiet.

“We want them to maintain the statusquo. As far as I am the minister of labour, I will protect the interest of workers; same to the telecommunication companies, they are also talking about compiling lists without discussing with anybody.”


Meanwhile, the low oil prices, uncertainty in foreign exchange and the dwindling economy in the country have taken its toll on the banking sector.

This follows reports that banks are beginning to cut down the number of their employees.

According to a report on The Punch, some banks rated well high by the Central Bank of Nigeria, have been hit by the current economy crisis, which has resulted in the reduction of their work force.