The Nigeria Labour Congress has threatened a nationwide strike if the Federal Government fails to return what it claims to be billions of naira taken from workers’ insurance contributions and fill the leadership gap in the country’s pension regulatory commission within a week. The NLC accused the government of diverting 40 per cent of contributions from the Nigeria Social Insurance Trust Fund into the national treasury in violation of the statutes establishing the fund, which is financed by payroll deductions to protect workers in the event of injury or job loss.

The National Pension Commission countered that the Contributory Pension Scheme remains secure and continues to grow, rejecting claims of missing funds. NLC President Joe Ajero said the move undermined the NSITF’s role as a safety net, warning that any further interference would trigger industrial action. The union also criticised the government’s failure to appoint a governing board for PenCom, saying the vacuum heightened the risks of mismanagement and political interference.

The standoff follows other pension disputes nationwide, including a 72-hour ultimatum issued in Ogun State over a 17-year backlog of unpaid contributions worth more than N82bn. The NLC has given the government seven working days to refund the diverted funds, produce a full pension fund status report, and constitute the PenCom board or face nationwide strikes and protests.

PenCom’s Head of Corporate Communications, Ibrahim Buwal, maintained that appointing a board was the Federal Government’s responsibility, adding that pension assets remained safe and continued to grow through regular contributions and profitable investments. The Nigeria Employers’ Consultative Association also urged the government to reconstitute the PenCom board in line with the Pension Reform Act, describing the failure to do so as a violation of the law.

The NSITF said there has been no official response yet to the NLC ultimatum. Meanwhile, the NLC dissolved the leadership of its Edo State Council for alleged unethical behaviour and anti-union conduct, appointing a caretaker committee until new elections are held. The union also accused the government of worsening inflation, joblessness, hunger, insecurity, and the collapse of public services, calling for a people-centred development model anchored on public ownership, living wages, industrial revival, and robust social protection systems.

Ajero further condemned the government’s alleged attempts to take over the NLC National Headquarters, purchased with workers’ contributions, and to amend the NSITF Act to gain full control of its funds, warning that the Congress would deploy all legitimate means to protect workers’ rights and resources.