Labour leaders were warned on Friday to stop illegal opening of accounts to keep union funds.
The Federal Government said such an act could lead to fraud and crisis among workers
The Federal Ministry of Labour and Productivity said it was unfortunate that some labour leaders could unilaterally open bank accounts without thinking of workers’ welfare.
Mrs Nwaenyibueze Mbogu, the ministry’s Deputy Director of Trade Union Department, expressed the concern at the National Workshop on Current Challenges and Prospect of Trade Union Administration in Nigeria.
Mbogu, who presented a paper entitled “Managing Trade Union Finance’’, said illegal opening of bank accounts by the union officials had led to corruption.
“Unions today handle enormous sums of money, but records of managing them and the safe-keeping of the financial accounts was a matter of public concern,’’ she said.
The ministry official reminded union leaders of their public responsibilities, saying it was obvious that the administration of their treasuries was a distinct challenge to them.
She advised unions to adopt sound budgetary control over their income and expenditure to forestall waste and dishonesty.
“Illegal opening of bank accounts by officials of the union has led to high level of corruption and, to rectify the situation, opening of accounts should be restricted.
“Official banks for the various unions, both at the national body and the branches, should be identified and cautioned against conniving with union leaders to siphon union savings,’’ Mbogu said.
She identified internal squabbles, which in many cases have led to breakaway factions, as being one of the challenges facing the trade unions in the management of their finances.
“The various factions collect check-off dues and refuse to remit same to the proper account, thereby depriving the main union of its legitimate funds,” the deputy director said.
Mbogu suggested that there was a greater need for effective leadership to forestall internal squabbles and eliminate divisive tendencies within the unions.
She said the unions must work together in unity, encourage the spirit of camaradiere and, above all, allow for transparency and accountability.
Minister of Labour, Chief Emeka Wogu, had on Thursday expressed similar concern.
He had said the inability of some registered trade unions to discharge their responsibilities was worrisome.
The two-day workshop had over 40 officers of various trade unions in attendance.
