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Ogun workers begin indefinite strike over ₦82 billion unremitted pensions

Ogun workers begin indefinite strike over ₦82 billion unremitted pensions
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Ogun workers begin indefinite strike over ₦82 billion unremitted pensions

Summary

  • Labour unions launch strike over 17 years of unpaid pension contributions and poor working conditions
  • Over ₦82 billion in pension deductions allegedly unremitted by Ogun State Government
  • Organised labour demands suspension of pension reform law and urgent dialogue with government
  • Public services crippled as strike enters day one with no official government response

Abeokuta, Nigeria – Ogun State workers under the Nigeria Labour Congress (NLC), Trade Union Congress (TUC), and Joint Negotiating Council (JNC) commenced an indefinite strike at midnight on Tuesday, 15 July 2025, over the alleged non-remittance of more than ₦82 billion in pension deductions.

The strike, declared during an emergency congress in Abeokuta, also centres on the state government’s failure to implement the minimum wage, worsening working conditions, and persistent breaches of the state’s Pension Reform Law.

The mass industrial action has paralysed civil and public services across the state, with organised labour describing it as a necessary response to “17 years of injustice, mismanagement, and government negligence.”

A pension system in crisis

At the heart of the strike is the Contributory Pension Scheme (CPS), introduced through the Ogun State Pension Reform Law (OGSPRL) in 2008 and amended in 2013.

The law requires both the state and its workers to contribute monthly to retirement savings managed by Pension Fund Administrators (PFAs). However, labour unions allege that the state government has only remitted contributions for 34 out of 204 months, leaving a staggering ₦82 billion unaccounted for.

Labour leaders have described the OGSPRL as a “monumental failure,” citing systemic issues such as the absence of a Contributory Pension Board, a state pension bureau, actuarial valuation, life insurance policies, and a centralised pension database. These gaps, they argue, render the CPS both legally and administratively dysfunctional.

Escalation following government inaction

The strike did not emerge without prior warnings. On 2 July, organised labour gave the state government a 72-hour ultimatum to suspend the CPS and initiate talks. That ultimatum expired without a response.

On 3 July, NLC chairman Hameed-Benco Ademola, alongside TUC’s Akeem Lasisi and JNC’s Isa Olude, formally rejected the launch of a new CPS phase, citing the unresolved ₦82 billion backlog and lack of institutional structures as critical barriers.

The unions also expressed outrage at the state’s silence and failure to meet the fundamental obligations required for the scheme’s effective implementation.

Political and public pressure mounts

The Ogun State chapter of the Peoples Democratic Party (PDP) has strongly criticised Governor Dapo Abiodun’s administration, accusing it of “monumental betrayal” and “gross dereliction of duty.” The party has demanded a full legislative probe into the missing funds and called on the State House of Assembly, led by Speaker Daisi Elemide, to hold the government accountable.

Labour unions have echoed these calls, urging not only transparency over the pension funds but a total suspension of the CPS until legal and administrative lapses are addressed.

Meanwhile, the Abiodun administration remains conspicuously silent. As of 15 July, no official comment has been issued, a position that unionists and observers alike have described as “cowardly” and “deafening.”

Strain on public services and growing support

The indefinite strike has significantly disrupted government operations across ministries, departments, and local government offices. Teachers, healthcare workers, and other civil servants have withdrawn services, with only emergency services functioning in limited capacity.

On social media, public sentiment largely favours the workers, with users expressing outrage at the pension crisis and urging Governor Abiodun to engage labour leaders in immediate dialogue. The strike has also drawn attention to broader pension mismanagement trends in Nigeria.

A nationwide pattern of pension failures

The Ogun crisis is symptomatic of a larger systemic failure in pension administration across Nigeria. In Kano State, Governor Abba Yusuf recently cleared ₦22 billion from a backlog of ₦48 billion in pension liabilities.

In the FCT, a three-month strike by area council workers was only suspended after Minister Nyesom Wike’s intervention, even as pension issues remain unresolved.

However, Ogun’s ₦82 billion shortfall may be among the largest ever reported, highlighting a dire need for reform, oversight, and fiscal accountability.

Where things stand

As of Tuesday, 15 July, the indefinite strike is active, with organised labour refusing to back down. The NLC and its affiliates have demanded the suspension of the CPS and an urgent review of the OGSPRL.

Calls for a formal inquiry into the whereabouts of the ₦82 billion also continue to mount, but the Ogun State Government has not responded publicly to the strike or labour’s demands.

Public confidence in the pension system, and the government’s stewardship of it, is at a historic low.

Outlook

Unless the Ogun State Government takes immediate steps to open negotiations and provide transparency regarding the pension deductions, the industrial action could persist indefinitely, with severe implications for governance and public service delivery.

The silence from Governor Abiodun’s administration not only risks deepening the crisis but may also undermine faith in pension reforms across the country.

 

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Idowu Shekoni is a broadcast journalist, multimedia content developer, and versatile writer with over a decade of experience in media, storytelling, and digital content development. With a strong passion for delivering engaging and impactful narratives, he has carved a niche for himself as an articulate communicator, creative thinker, and meticulous content strategist.

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