NECA calls for urgent action to arrest growing unemployment rate

The Nigeria Employers’ Consultative Association (NECA) has raised alarm at the growing rate of unemployment in the country, with attendant negative consequences for security and household survival.

The Director-General of the Association, Adewale-Smatt Oyerinde stated in Lagos that “we are concerned at the growing rate of unemployment in the country, made worse by the continuous divestment of global businesses and closure of local ones. It is worrisome to note that in the last three (3) years, over fifteen (15) organizations with a combined value-chain staff strength of over twenty thousand (20,000) employees have either divested or partially closed operations. This has dire consequences not only for organized businesses but also for labour, government revenue and the households”.

Further expressing the Association’s deep concerns, Mr. Oyerinde averred that “the consequences of this massive job losses across sectors will continue to create insecurity challenges, increase the occurrence of child-labour (as children will be forced to become bread-winners), adversely affect the disposable income of families, erode the purchasing power of individuals and drastically reduce economy’s output.

While proffering solutions to this malaise, the NECA Director-General urged the Government to urgently address the multi-facet challenges currently being faced by organized businesses.

Oyerinde noted that “the harsh business environment has made local businesses to be uncompetitive. Government must urgently address regulatory and legislative bottlenecks that tend to stifle businesses rather than promote them. Continuous efforts must be made to promote locally made goods through the provision of critical infrastructures; urgent stabilization of the foreign exchange market and ensuring that Ministries, Departments and Agencies are appraised not only by how much income they generate, but also by how many businesses they facilitated or promoted” The private sector creates 8 out of every 10 jobs and deliberate effort must be made to ensure its sustainability and competitiveness.”