The Nigeria Social Insurance Trust Fund (NSITF) has extended its Employees’ Compensation Scheme (ECS) to include the rapidly growing fintech and agency banking sectors, a move hailed as a proactive step toward improving employee safety and support in these industries.
At a recent workshop in Kano, Comrade Anthony Abakpa, National President of the National Union of Banks, Insurance, and Financial Institutions Employees (NUBIFIE), lauded the inclusion of these sectors under the ECS.
He emphasized that this collaboration would create a safer, more supportive environment for employees and foster growth in Nigeria’s mobile money and fintech sectors.
Abakpa also suggested that the NSITF adapt its processes to meet the unique needs of the fintech and agency banking sectors, advocating for the digitization of registration and management.
He recommended using online portals and mobile apps for easy onboarding of employers and employees, especially in the informal sector. Additionally, he proposed the development of tailored solutions to accommodate the flexible structures in fintech, including customized contribution plans and incentives like tax breaks for registered employers.
NSITF’s Managing Director, Oluwaseun Faleye, represented by Chika Onyewuchi, General Manager of the Informal Sector Department, highlighted the importance of expanding the ECS. Onyewuchi explained that the scheme not only promotes financial inclusion but also ensures a safer working environment for fintech agents. The coverage offers protection against work-related accidents, encouraging more skilled workers to enter the industry and expanding financial services to underserved areas.
Moreover, Onyewuchi pointed out that the ECS provides legal liability protection for agency banking providers, mitigating the risks associated with workplace accidents and illnesses. By enrolling in the scheme, providers reduce their exposure to legal claims, as the NSITF assumes responsibility for handling them.
She concluded by urging all players in the informal sector to embrace the ECS as a means of reducing financial vulnerability, improving productivity, and bridging the gap between the formal and informal sectors. The ECS, she argued, is essential in narrowing inequality through social protection.
