House of Representatives has resolved to investigate the level of compliance of Ministries, Departments and Agencies (MDAs) of the federal government and corporate bodies with the Industrial Training Fund (ITF) Act and other encumbrances affecting the success of the Scheme from 2010 – 2023.
This was sequel to the adoption of a motion moved by Hon. Taofeek Ajilesoro from Osun at plenary, yesterday.
Moving the motion, Ajilesoro said Section 6 (1) and (3) of the Industrial Training Fund Act provides that: “Every employer having either five or more employees in his establishment or having less than five employees but with a turnover of N50 million and above per annum, shall in respect of each calendar year and or the prescribed date, contribute to the fund one per cent of his total annual payroll.
“(3) Any liable organisation, public or private including companies situated in the free trade zone requiring approval for expatriate quota and/or utilising custom services in matters of export and import, must show proof of compliance with this Act in respect of payment of training contribution of his employees and all regulatory agencies of the Federal Government shall ensure compliance with the provisions of section 6 (l)-(3) of this Act.”
He also noted that Section 8 (1) and (2) provide that “All employers who pay their annual training levies (a) shall, at all times, provide adequate training for their indigenous staff improve on the skills related to their job and evidence of such training shall be forwarded to the Fund, (b) shall accept students for industrial attachment purposes.
“(2) Any employer who is in breach of the provision of subsection
(1) of this section shall be guilty of an offence under this Act and liable on conviction.”
The lawmaker expressed concern that preceding Boards and Management of the ITF in the last decade have complained of inadequate funds to execute its programmes due to impediments in obtaining contributions, especially from public institutions and organisations.
He said the agency has also been alleging inconsistencies in remittance and in most cases outright non-remittance of funds by Ministries, Departments and Agencies of the government and most corporate bodies.
Adopting the motion, the House agreed to set up an Ad-hoc Committee to carry out the investigation and report back within four weeks for further legislative action.
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