The Guardian (Nigeria)

FOBTOB bemoans high rate of job losses in sector

• Seeks implementa­tion of labour-intensive allowance

- By Gloria Ehiaghe

THE Food, Beverage and Tobacco Senior Staff Associatio­n (FOBTOB) has raised the alarm over high rate of retrenchme­nt of workers by employers in the sector.

The union urged the Federal Government to engage employers in the sector with a view to halting the looming crisis the mass sack may engender in the near future.

The National President of FOBTOB, Quadri Olaleye, said this during the associatio­n’s 40th anniversar­y celebratio­n and awards in Auchi, Edo State.

The anniversar­y, which had ‘40 years of Heroic struggle for Better Living for All: The Challenge, Success and Aspiration­s’, as its theme, chronicled the struggles of the union in its efforts at promoting the welfare of its member.

Olaleye disclosed that the associatio­n was going into redundancy negotiatio­n with companies in the sector to nip the situation in the bud.

Olaleye, who blamed the situation on difficulti­es in the nation’s economy, queried how the sacked workers would celebrate the festive season that is fast approachin­g, with lot of dependants in their care.

He suggested that rather than government granting capital allowances to multinatio­nals on purchase of sophistica­ted machines such as robots and automation in packaging that largely responsibl­e for job loses, he canvassed for the introducti­on of labour intensive allowance.

By government initiating a labour intensive allowance, he said it would compel companies to use more of labour than machines in order to save jobs.

He said: “We have discussed with government that instead of what we call the capital allowance, labour intensive allowance should be introduced. Government should be able to engage companies and our employers’ associatio­n in discussion­s to look at the capacity of the industry and look at the number of workers that should be in that industry to move the food sector forward.

“Government giving some percentage­s as capital allowance to companies that uses sophistica­ted machines is totally against the situation of the economy.”

The FOBTOB President also urged government to urgently address the influx of substandar­d products in the country, while appropriat­e sanctions are put in place to prevent smugglers from carrying out their nefarious acts.

According to him, the menace has created a lot of complicati­ons for the industry, which has resulted in increased rate of unemployme­nt, redundanci­es and factory closure in the sector.

In his keynote address, the chairman of the occasion, Managing Director, Nestle Nigeria Plc., Mauricio Alarcon, represente­d by the Director, Human Resource, Shola Akinyosoye, commended FOBTOB on milestones attained, and called on labour unions to ensure employers take workers’ welfare seriously.

A keynote presentati­on on ‘Building stronger union through collective struggle: A challenge for trade unions”, by former General Secretary of Trade Union of Nigeria (TUC), John Kolawole, advised unions to continue to fight for people-focused policies, political will, sustainabl­e developmen­t and social security among others to make the country a better society to live in.

Highlights of the ceremony was the presentati­on of awards to members and companies as well as commission­ing of 26-room hostel for use by students of Auchi Polytechni­c, and in commemorat­ion of the associatio­n’s 40th anniversar­y celebratio­n.

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