Millions of Nigerian workers face growing social security risks, NSITF warns

By Victor Ahiuma-Young The Nigeria Social Insurance Trust Fund, NSITF, has raised the alarm over growing social security risks facing Nigerian workers, warning that the rapid transformation of the labour market through artificial intelligence, AI, automation, digital platforms and the gig economy could leave millions of workers without adequate protection.

The Fund has consequently called for urgent measures to close existing social protection gaps, strengthen employer compliance and build a sustainable safety net that guarantees workers’ welfare, dignity and economic security, irrespective of their employment arrangements. The NSITF also emphasised the need for government, employers, organised labour, social security institutions and the media to work together to ensure that technological advancement and changing employment patterns do not create a new generation of economically active but inadequately protected workers.

The Managing Director/Chief Executive of NSITF, Oluwaseun Faleye, raised the concerns in his keynote address at the Labour Writers’ Association of Nigeria (LAWAN) Annual Workshop, in Lagos, The address, titled Social Security and Workers’ Welfare in Nigeria’s Political Transition: Closing the Protection Gaps and Building a Sustainable Safety Net, was presented on his behalf by the Deputy General Manager, and Head of Corporate Affairs Department, Alexandra Mede.

Faleye described social security as an investment in human dignity, social stability and economic resilience, insisting that its importance should not be measured merely by institutional structures, regulations, financial contributions and statistics. According to him, social security is fundamentally about protecting workers and their families against unforeseen circumstances, including workplace injuries, disabilities, occupational accidents and the sudden loss of a family’s principal breadwinner.

He said, “At its heart, social security is about people. It is about the worker who suffers an injury in the course of employment. It is about the family that suddenly loses its principal breadwinner. It is about a worker whose ability to earn an income is affected by an occupational accident.” The NSITF MD/CEO warned that Nigeria’s rapidly changing world of work was creating new challenges for traditional social protection systems, particularly with the growing adoption of technology, artificial intelligence, remote work, automation and digital employment platforms.

While acknowledging the opportunities associated with these developments, he expressed concern that workers operating within emerging employment arrangements might be left outside established social protection structures. He questioned how the welfare of workers engaged through digital platforms could be guaranteed and how protection could be extended to people whose employment relationships no longer follow conventional patterns.

“How do we ensure that technological progress does not create a new generation of workers who are economically active but insufficiently protected?” he asked. Faleye maintained that Nigeria’s social protection framework must evolve in line with developments in the labour market to ensure that technological progress does not undermine workers’ welfare and security.

On the existing protection gaps, he identified the exclusion of workers outside formal employment structures, inadequate integration of employers into social protection systems and insufficient awareness of available protection mechanisms as major challenges. He stressed that closing these gaps required more than legislation, noting that awareness, compliance, accessibility, efficient institutions, reliable data and sustained stakeholder collaboration were essential.

According to him, social security advocacy must move beyond government offices and conference halls to workplaces, businesses, communities and emerging sectors of the economy. He also underscored the importance of the Employees’ Compensation Scheme (ECS), describing it as a critical instrument for protecting employees against work-related injuries, disabilities and occupational risks.

The scheme, he explained, represents a social compact involving employers, workers, workplaces and the wider society, adding that its effectiveness depends largely on awareness, compliance and efficient administration. Faleye called on employers to understand and fulfil their responsibilities while urging workers to become more aware of their rights and the benefits available under the scheme.

He noted that institutions responsible for administering social protection programmes must continuously improve their efficiency, transparency and accessibility to deliver better services to beneficiaries. “The message must therefore be clear: Social protection is not simply a benefit to be discussed after a worker suffers an unfortunate incident. It is a system of preparedness and protection that should exist before the risk occurs,” he declared.

The MD/C