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The number of full-time workers in the banking industry has been on
the decline as contract employees have doubled in the past two years,
rising from 20,237 to 46,235, investigation has revealed.
Figures obtained by a Punch correspondent on Wednesday showed that the
number of contract workers in the industry rose from 20,237 in the first
quarter of 2017 to 32,013 at the end of Q1 2018.
The figure, which hit 43,955 at the end of the second quarter of 2018,
further rose to 46,235 at the end of the first quarter of 2019,
according to a report by the National Bureau of Statistics.
Despite the increase in the banks’ operations, the number of junior
workers fell from 40,549 in the second quarter of 2018 to 39,980 in the
second quarter of 2019, the report added.
As banks embrace cheap labour as a way to cut costs, experts are worried
that not many of the lenders are providing additional benefits for such
contract employees such as pension savings, healthcare or insurance
covers in case of death.
The President, United Labour Congress, Joseph Ajaero, described
contract/casual employment and outsourcing as precarious jobs that
should not be encouraged under normal employment schedule.
In most cases, he said, such jobs did not have any form of protection,
adding that they were more prevalent in sectors without strong unions
that could challenge the system.
He said, “Although it is creeping into almost every sector, it is
more prevalent in the banking sector. And from all indications, that
does not give people living wages.”
Ajaero noted that if the casual workers belonged to a union, they would
have the boldness to negotiate their monthly salary and other
allowances, which would ameliorate the sufferings of the workers.
“They could insist that instead of paying them N20,000 a month, you
must pay N50,000. They could insist on health facility and key into the
new Contributory Pension Scheme.”
A former President, Trade Union Congress, Peter Esele, said, “I
don’t think it is appropriate but you have to look at it from two sides.
If the contract employees are being properly remunerated, it is a
different ball game. But they are not well remunerated and the reason
why they are going in that direction is that it is cheaper for the
banks. In business, what majority of people seek is profit.”
He said the Federal Ministry of Labour and Employment should be
interested in the welfare of all workers including contract employees in
the banking sector.
Esele said the pressure groups within that sector or the union within
the banking industry needed to take it up to ensure they were well
remunerated.