Nigerian Workers Federation Seeks 50:50 Pension Co-contribution, Says 93% Of Working Class Excluded From Social Protection

Despite this, FIWON said they remain largely excluded from essential social protection systems, with existing programmes described as ineffective and inaccessible.

The Federation of Informal Workers Organisations of Nigeria (FIWON) has demanded an urgent overhaul of Nigeria’s social security architecture, calling for a 50:50 pension co-contribution model to save the over 93% of the nation’s workforce currently “abandoned” by the state.

In a Workers’ Day statement released on Thursday, April 30, the federation lamented that despite contributing over 65% to the national GDP, the vast majority of Nigerian workers — including artisans, traders, and farmers — exist in a vacuum of structural exclusion, devoid of healthcare, pension, or workplace safety.

In the statement jointly signed by the President and Secretary General, Gbenga Komolafe and Bolaji Saadu, FIWON noted that while the Nigerian government declared May 1 a public holiday to mark Workers’ Day, the celebration holds little meaning for the vast majority of workers struggling under harsh economic conditions.

“The celebration rings hollow for millions of working people in informal employment who continue to face staggering inequality, poverty, and structural exclusion,” the statement said.

According to the organisation, informal workers — including traders, artisans, farmers, transporters, domestic workers, and waste pickers — make up over 93 per cent of Nigeria’s active workforce and contribute at least 65 per cent to the country’s Gross Domestic Product.

Despite this, FIWON said they remain largely excluded from essential social protection systems, with existing programmes described as ineffective and inaccessible.

The group criticised the current micro-pension scheme managed by the National Pension Commission, stating that it has failed to deliver meaningful benefits to informal workers.

It attributed this to low contributions and rising inflation, which it said erode savings before retirement.

FIWON called for a 50:50 co-contribution model in which the government would match pension contributions made by informal workers, similar to arrangements in the formal sector.

“Currently, an informal worker must save entirely from their meagre, irregular income. With inflation at record highs, those savings become worthless before retirement,” the group said.

On healthcare, FIWON described access to medical services as increasingly unaffordable for informal workers, blaming the reliance on costly health insurance systems.

It also faulted the implementation of the Basic Health Care Provision Fund, alleging that many state governments have failed to fund the initiative.

“Healthcare is a human right, not a commodity,” the group stated, calling for subsidised health insurance and free healthcare services for vulnerable groups, including pregnant women, children under five, the elderly, and persons with disabilities.

The organisation further decried the lack of workplace protection for informal workers, noting that those injured or killed on the job often receive no compensation.

FIWON said the Employees’ Compensation Act does not cover workers in the informal sector, leaving them exposed to exploitation and unsafe working conditions.

“Every day, market women are assaulted by taskforces, mechanics are injured in workshops, waste pickers are exposed to hazardous materials, and domestic workers suffer abuse behind closed doors. Yet there is no compensation, no legal recourse, no protection,” the statement said.

The group warned that rising inequality and exclusion pose a threat not only to economic stability but also to Nigeria’s democracy and social cohesion.

“We cannot build a stable, prosperous Nigeria when the vast majority of workers are excluded, exploited, and ignored,” it said.

FIWON also accused government agencies and security operatives of harassing and criminalising informal workers, calling for an end to such practices.

As part of its demands, the organisation urged the Federal and State Governments to implement comprehensive social protection programmes, including pension co-contribution schemes, expanded healthcare access, and legal protection for informal workers.

It also called for the inclusion of informal workers in policy decisions affecting their livelihoods.

“The time for tokenism is over. The time for real social protection is now,” the statement added.

FIWON urged informal workers across the country to use the occasion of Workers’ Day to reflect on their collective strength and continue advocating for recognition, dignity, and protection.

SOURCE: SAHARA REPORTERS