NSE Terminates Staff Gratuity Scheme

Nigerian Stock Exchange (NSE) has stopped the payment of staff gratuity with effect from March 31, 2011, a move that is already creating tension among workers of the exchange.

THISDAY gathered that the management of the exchange had on March 25, issued a circular to employees, informing them of the decision to put an end to the payment of staff gratuity, citing inadequate funds as reason for its action.

However, the action of management has created anxiety among workers who described the decision as unethical, unfair and without respect to labour law.

The circular, signed by Mr. Abdulmumini Ado Yola, and made available to THISDAY reads “At its meeting held on 16th March 2011, the national council of the Nigerian Stock Exchange resolved to terminate the staff gratuity scheme with effect from March 31, 2011. Members of staff who have been in the service of the exchange for five calendar years by March 31, 2011 shall be entitled to receive gratuity.

“Eligible staff shall only access their gratuity benefits when they disengage from the services of the exchange or the discretion of council on the recommendation of management. The exchange will employ the services of actuarial managers to give effect to the foregoing council decision. We shall keep you informed of new developments”, the circular added.

Meanwhile, the aggrieved staff of the exchange have opposed the decision of the Emmanuel Ikazoboh appointed management of NSE, stating that the new management has been deceiving the public, claiming the NSE is experiencing shortage of funds, while it is busy awarding contracts to their associates.

“How can you abolish staff gratuity? What is the reason for the abolition? I am sure these people do not understand the meaning of gratuity. Some of us believe a lot of unethical practices is going on now at the Exchange”, one of the aggrieved staff said.

source : Thisday