Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
A former Public Affairs Manager of the defunct Power Holding Company of Nigeria, Chijioke Igolo, has accused the President of the Nigeria Labour Congress, Joe Ajaero, of betraying over 47,000 former electricity workers by allegedly collaborating with government officials to deny them billions of naira in outstanding entitlements following the privatisation of the power sector. In an open letter addressed to Ajaero, which was obtained by SaharaReporters on Thursday, Igolo alleged that the labour leader, who previously served as General Secretary of the National Union of Electricity Employees, abandoned the interests of the workers he once represented by declaring that the Federal Government no longer owed ex-PHCN employees despite outstanding financial obligations. The former PHCN official claimed that the government still owed former workers several benefits, including 16 months' unpaid salaries, a 10 per cent equity entitlement and the Federal Government's 7.5 per cent pension contribution, among other outstanding payments.
Igolo's accusations come more than a decade after the privatisation of Nigeria's power sector, a process that has left thousands of former PHCN employees in a state of financial limbo, with many still waiting for their full severance packages. According to Igolo, when efforts were made to secure payment of the outstanding benefits, Ajaero allegedly worked with the Bureau of Public Enterprises to frustrate the process. "But when it was about to be paid, you, the same person we employed to oversee our welfare, hijacked the fund in collaboration with the Bureau of Public Enterprises to deny the ex-PHCN staff the payment of their remaining entitlements, declaring that the Federal Government was no longer indebted to us," he alleged. The former PHCN manager also alleged that more than N400 billion belonging to former electricity workers had been diverted over the years, comprising accumulated superannuation benefits and over N8 billion deducted from workers' salaries.
Perhaps the most damning allegation in Igolo's letter is the claim that Ajaero and unnamed former PHCN officials organised the signing of documents by ex-workers inside military barracks across the country for the payment of only one month's salary while others allegedly benefitted from the larger funds. "As if that was not enough, you and some others known to you connived with the Federal Government through the BPE to organise the signing of documents by all ex-PHCN staff inside Army Barracks across the country for payment of one month's salary to us after you and some of our former colleagues numbering about one thousand helped yourselves with the booty," he claimed. He described the alleged actions as "wickedness from a man who should act as an arbiter over our affairs".
The dispute over PHCN workers' entitlements has been a long-standing issue, with multiple agreements signed over the years that have yet to be fully honoured. In 2013, the Federal Government and PHCN workers reached an agreement on a severance package, with the Bureau of Public Enterprises later disclosing that it had spent about N409.9 billion on the payment of severance benefits to ex-workers and death benefits of the defunct Power Holding Company of Nigeria. However, according to a 2016 report, the BPE paid the severance benefits of about 47,000 out of about 50,000 disengaged PHCN staff, representing 94 per cent. Despite this, many workers claim that their full entitlements, including the 16 months' unpaid salaries, 10% equity share, and the Federal Government's 7.5% pension contribution, have still not been fully settled.
Igolo further referenced the former Accountant-General of the Federation, Mr. Jonah Otunla, alleging that he returned N6 billion after negotiations with the Economic and Financial Crimes Commission. This allegation adds another layer to the complex web of financial mismanagement that has characterised the post-privatisation era of Nigeria's power sector. The former PHCN manager's letter has reignited calls for accountability and transparency in the handling of the workers' entitlements, with many ex-employees expressing frustration over what they perceive as a systematic denial of their rightful benefits.
The allegations against Ajaero are particularly striking given his long history as a champion of workers' rights. As General Secretary of the National Union of Electricity Employees since 2005, Ajaero was a vocal advocate for electricity workers' welfare. He was at the forefront of negotiations with the Federal Government over the severance package for PHCN workers and had previously accused the government of betrayal over unpaid benefits. In 2013, he led protests and issued ultimatums over the non-payment of entitlements. However, Igolo's accusations suggest that Ajaero may have compromised his principles after assuming the presidency of the NLC, allegedly prioritising personal gain over the welfare of the workers he once represented.
The Nigerian Labour Congress has yet to issue an official response to the allegations. However, the accusations have already sparked widespread debate on social media, with many expressing shock and disappointment at the possibility that a labour leader could betray the very workers he was elected to protect. Some have called for a thorough investigation into the matter, while others have urged the ex-PHCN workers to intensify their fight for justice. The controversy comes at a time when the NLC has been actively engaged in national issues, including the push for a new minimum wage and protests against the rising cost of living.
The allegations also highlight the broader challenges facing Nigeria's power sector, which has struggled to deliver reliable electricity to its citizens despite the privatisation of the PHCN over a decade ago. Critics have long argued that the privatisation process was flawed and that the successor companies have failed to invest adequately in infrastructure. The non-payment of workers' entitlements is just one of many issues that have plagued the sector, contributing to a cycle of inefficiency and public dissatisfaction.
As the debate over the allegations continues, the ex-PHCN workers remain in a state of uncertainty, with many still waiting for the benefits they were promised more than a decade ago. The accusations against Ajaero, if proven true, would represent a significant betrayal of trust and a blow to the credibility of the labour movement in Nigeria. For now, the former PHCN employees are left to wonder whether they will ever receive the full compensation they are owed, and whether the man they once trusted to fight for their rights has indeed turned his back on them. The outcome of this controversy will be closely watched by workers across Nigeria, who see the fight for PHCN entitlements as a test of the labour movement's commitment to its core principles of justice and fairness.
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