The Final Onslaught

Okereke-Onyeuike

As a new management (Transcorp) prepares to take over the Nigerian Telecommunications Limited (NITEL), workers of the organisation threaten another industrial action over Federal Government's unfulfilled promises,
By Oji Odu
No private Telecommunication Operator (PTO) would want a repeat of their June 2003 expereince. The same also goes to the telecom community especially the PTO lost huge sums of their revenue as a result of the industrial action embarked upon by workers of the Nigerian Telecommunications Limited (NITEL) in June.
This industrial action was as a result of the non-payment of the workers salaries over a period of five months and other entitlements even as the organisation was submerged in a strangling debt of over N130 billion.
Recently, NITEL workers threatened to embark on another industrial action aimed at protecting their interests against the fall-out of the privatisation of the organisation by the Federal Government on July 2006.
The Source’s investigations reveal that the workers of the national carrier and first national telecommunications operator are demanding for the payment of 10 years termination benefits in preparation for the takeover of the company by a private company, Transcorp.
However, revelations show that while workers of the organisation under the aegis of the Senior Staff Association of Utilities, Statutory Corporation and Government Companies (SSAUSCGOC) are demanding 10 years pension entitlements for each retrenched worker, a rival union, the National Association of Telecommunications Employees (NATE) are demanding for 10 years salary per worker.
The SSAUSCGOC, The Source learnt took its decision after a meeting of the National Executive Council (NEC) at Oshodi-Lagos on July 26, 2006. In its communique, it stated: The NEC in-session after careful and exhaustive deliberations on the labour - related issues regarding the Federal Government’s privatisation of NITEL, decided that all staff should be exited and paid their severance packages.
“These should include three months salaries in lieu of notice, 10 per cent of emoluments as provided in the conditions of service for abolished cadres for staff so declared in addition to redundancy benefits, appropriate gratuities with 10 years of annual pension entitlements pay-off as pension buy-off.”
On the other hand, NATE after its own NEC meeting in Abuja same day (July 26, 2006) came up with the stand that “As contained in our letter to the Minister of Communications, dated July 11, 2006, our position as an Association and NITEL staff remains the same. “In other words, we want 10 years of total emoluments and not pension, for all the 10,355 staff on the company’s payroll. Cheques must be attached to the letters.”
The union also demanded that casual staff be adequately compensated and was critical of the managements over - dependence on the Federal Government for the payment of salaries. They said that the managements neglect of other sources of revenue is “suicidal and a confirmation that the present management of NITEL is bemused… and a management that could not collect its debts running into billions of naira should actually be shown the way out of office as a total failure rather than confirmation”.
The Source’s findings revealed that billions of naira were lost in the two-day strike which affected 1.2million lines belonging to fixed wireless operators, over 400,000 functional NITEL lines and about 1.2million lines belonging to Mtel, the GSM subsidiary of NITEL. Banks and other corporate and multi-national organisations including hotels which make use of NITEL facilities were also affected.
Not left out on the effects of the strike actions were those engaged in internet services who are connected through NITEL to SAT 3. These made international route operations to drop by about 25 per cent.
In the wake of the NITEL crisis in 2005, largely due to dwindling performances and continuous debt growth, President Olusegun Obasanjo directed the former Finance Minister, Dr. Ngozi Okonjo-Iweala to deduct government’s monthly bill from source from each federal ministry and parastatal. This debt of about five billion naira and N75billion owed by other agencies and institutions contributed immensely to the non-payment of workers’ salaries and other emoluments for over four months.
The Federal Governments grant of N1.7billion to off-set part of their arrears was rejected by workers of the telecommunications company who demanded full payment.
According to The Sources findings NITEL workers are still complaining of being owed about four months salary arrears and other allowances even as the company has been sold to Transcorp.