EMPLOYEE
WELFARE PROGRAMME IN NIGERIA
(NITEL
LIMITED)
TABLE
OF CONTENTS
Title Page
Approval
Page
Dedication
Acknowledgment
Abstract
Table
of Contents
CHAPTER ONE: INTRODUCTION
1.1
Background of the Study
1.2
Statement of the Problem
1.3
Objective of the Study
1.4
Significance
1.5
Scope of the Study
1.6
Reference.
CHAPTER TWO: LITERATURE
REVIEW
2.1
Origin of the Subject Matter
2.2
School of Thought Within the
Subject Matter
2.3
School of Thought Relevant to the
Problem
2.4
Different Method of Studying the
Problem
2.5
Definition
2.6
Reference.
CHAPTER THREE
3.1
Conclusion
3.2
Data Presentation
3.3
Recommendation
3.4
Conclusion
3.5
Reference.
CHAPTER
ONE
INTRODUCTION
1.1 BACKGROUND
ON THE SUBJECT MATTER-NITEL
The Nigeria Telecommunication Limited
(NITEL) come into existence in January 1985 as a result of the merger between
the former Nigeria External Telecommunication limited (NET) and the
Telecommunication, sector of the former Post Telecommunication Department
(P&T), by the Federal Government.
The reason for the merger as advised by the government were the
compatibility of service equipment and the streamlining of activates in both
NET & P & T it was envisaged that NITEL will definitely create
harmonization and complimentarily of services which up till the merger, were
handled by NET (Enternal and P & T (international).
Unlike most government parastatals,
NITEL was created to render its service at a profit. The company is not only self-financing but
serves as a source of revenue per government.
It would be recalled that with NET & P & T, the parent bodies,
were solely owned by the federal government hence NITEL could be described as
the “Bain child” of government. The
main objective of the company is other provision of telecommunication services
both internally and internally through in a combination of communication
satellites, submarine cable of microwave links and the high frequency radio
network. The telecommunication services
provided by NITEL include the following (both internal and external)
1)
Telephone Service
2)
Telex service
3)
Telegram service
4)
Press recreation
5)
Presses international direct
delivery service (100)
6)
Voice cast
7)
Zeased Grant
8)
Photo telegrams
9)
Ship shore service
10)
Television courage the satellite.
11)
High frequency radio service.
The above service are being rendered to the public by NITEL
at us head offices in Lagos and at its branches all across the nation on a 24
hours daily basic.
The important of the above service cannot be overstated in
the development of our country’s economy.
It is a know fact that communication is and essential and vital means of
efficiency one not only desirable but inevitable if the nation must achieve of
economic objective and maintains its proper place in the comity of nations.
NITEL in its strive of producing improved and efficient
telecommunication service in segmented into five zones of operations, with the
national headquarters in Lagos. The
zones are:
1)
Lagos
2)
South West
3)
South East
4)
North West
5)
North East
The zones are further divided into 23 territories, all across
the 21 states of the federations including the Federal Capital Territory Abuja.
The company is structured into a division for proper and
effective administration. Each division
is headed by a direction or general manager, as the case may be. There are two deputy managing director who
co-ordinate the division together for achieving the company’s objectives, the
company as a whole is being headed by a managing director. At the top of the organization hierarchy,
the company has a beard of director comprising the chairman, the managing
director, the two deputy managing directors and heads of division and zones, as
well as the company secretary I Lager Adviser.
The organization is really a complex one and was a designed to case the
achievement of the company objectives.
In the area of administration the company had formulated many
new polities. One of such polities
includes the recently revised fringes benefit schemes.
1.2 STATEMENT OF PROBLEM
Problem of administration of employee welfare Administration
of employee welfare programme are fraught with complex problem’s some of these
problems device from the installation of the welfare programmes, other purely
from inherent bureaucratic procedures.
A few of these
problems are:
1)
Accounting problem.
2)
Telex service
3)
Telegram service
4)
Press recreation
5)
Press international direct service
(100)
6)
Voice cast
7)
Leased telegrams
8)
Photo telegrams
9)
Ship shore service
10)
Television coverage via satellite
11)
High frequency video service
The above service are being rendered to the public by NITEL
at its head office in Lagos and its branches all across the nation on a 24
hours daily basic.
The importance of the above service cannot be overstated in
the development of our company’s economy.
It is a known fact communication in an essential and vital means of
development in terms of peace and war.
Its effectiveness and efficiency are not only disabling, but inevitable
of the nation must achieve its economic objective and materials its proper
place in the country of nations.
NITEL in its strike of providing improved and efficient
telecommunication services is segmented into five lines of operations with the
national headquarters in Lagos. The
lines are:
6)
Lagos
7)
South West
8)
South East
9)
North West
10)
North East
1.3 OBJECTIVE OF THE STUDY
1. Accounting problem:
The curse of accounting problem facing
managers is the fact that very few companies maintain a break-down of the costs
of these fringe benefits to reflect.
a)
Cost per employee per year
b)
Percentage of payroll made up of
fringe benefit costs.
c)
Cost per employee per hour-actual
productive hour worked.
In
companies where any regular fringe account at all is attempt, it is likely to
be a terms of total (naira) cost of fringe benefits and total schedule hours to
work.
2. Eligibility Problem:
The issue of those who are eligible
for fringe benefits; has a profound effect on the cost of the programmes. The more liberal the eligibility rules the
higher the cost. For example, some
companies do not allow their new employees to enjoy certain benefits until
their precautionary period is over.
Sometimes, some companies do restrict the eligibility of employees for a
particular benefit plant a specified categories or levels of employees.
3. Employee financing:
Should employee make any contribution
to the expense of the firm’s benefits programmes? Most union and employees are
strongly opposed to “contributory” programmes.
Since many employees feel that they have earned the benefits that they
are being grated, they cannot understand why they should pay part of the cost
any more from their own wages.
4. Financial Problem:
Many companies introduce some benefits
plan when it is financially sound and tend to run into trouble when they can no
longer support the plan financially.
Management must therefore realize that
when it introduces a benefit plan it premises some part of the firm’s economic
resources. Even where there are no
legal obligation to do so, employee often feel that management has made a moral
commitment to continue the programme, the management should face the problem of
having to make through, realistic evaluation of its cost, both short-term and
long-term. But the management finds
itself incapable of continuing a programme; it would bring the company’s plight
before the union so that renegotiations would take place for trading of the
programme.
5. Other Problems:
There are so many other problems such
as difficulty in making accurate predictions of the cost of benefit programmes,
as they have the tendency to grow more expensive over time; freezing the
mobility of labour among rank and file workers; change in the national economy
etc.
1.4 SIGNIFICANCE OF THE STUDY
1.
Safety programmes and workman’s
compensation most companies have some type of safety programmer to educate
workers, such as posters, warning signs, safety talks, and other medial by
which employees are given instructions in safe work methods and are urged to
follow them; some companies also conduct safety education courses that are
aimed at reducing the occurrence of accidents at work place is compensated the
benefit are standardized so as to match any degree of accident. Hence management seeks to avoid the
necessity for court action. These they
do in compliance to workman’s compensation Act of 1958.
2.
Health Insurance:
Accidents and industrial disease growing out of the job are compassable
various forms of health and accident insurance are provided, some completely
financed by the employer while other are shared with the employee. The following type of insurance are provided
by various firms.
a)
Hospitalization
b)
Surgical expense
c)
Vision care
d)
Dental care etc.
3.
Medical Services: There is increasing interest among many large
companies in provided medical services for their employee, other companies
undertake the service of one or more clinics to render the medical service for
their employees and their dependents.
1.5 SCOPE OF THE STUDY
1. Old age and Retirement:
A major source of worker concern about
economic security is the possibility of dependency in old age. Involuntary retirement, disability or death
may create serious economic problems for employee or their dependents. Current policy has developed public; union
and individual firm programmes to meet these problems. Public programmes now
provide both old age pensions and retirement programmes.
2. Company retirement programmes:
A formal company retirement programme
can help to facilitate the various adjustments that may be required within that
company and on the part of the employee when their retire. Many companies offer their employee a huge
sum of money, known as gratuity, on retirement. This is a sort of compensation
to the employee for successful years spent with the organization in
Nigeria. The age of retirement range is
from 55 years to 60 years or more depending on the company’s policy.
3. Pension Plans
Many companies undertake pension plans
for their employee as a means of insuring them when on retirement. Most of the plans are financed by employee contributions,
but some are Jointly financed by the employer and the employee. Benefits are administered by insurance firms
or by trustees of non-insured plans.
Employees under the plans are paid a specified amount on monthly basis
after retirement. This is common in the
public sector in Nigeria.
The basis provision of the scheme
involves payment of a specified amount to the employee after retirement on
monthly basis from the contribution. In
some organization, it is paid in bulk to the employee on retirement. Other provision includes death in service
benefits, gratuity, etc. it is universal and covers all staff in respective of
their status.
Nature and
Scope
Although the term ‘employee welfare’
in itself implied a voluntary provision on the part of the employer. The administration of the state benefit
scheme and certain legal requirement concerning other benefit and service
purpose statutory obligation up on the employer.
In addition to such obligation,
however, a large number of companies provide employee services for they used to
be they bits and pieces of goodies that occasionally feel from the high table
of paternalistic employers, hence they are know to be fringe (ie managerial)
benefit of recent, the package has grown hydra headed in from and monstrous in
relation size, and in apprehension that is beginning to be called the “hidden
pay roll”.
Manager and employers do not play
dominant role in administering all benefit and sources and may not do little
more than to comply with prescribed public regulations so, public policy play a
lending role in explaining several important types of fringe provision. It has
long emphasized the advancement of economic security and qualitative benefit
such as public pensions, paid vacations, industrial, ill health and accident.
Employee-union on the other hand has
supported all of these public intentions and has in addition sought paid sick
league, health and welfare programme increased payment to workers, etc the
union have pursued those benefit with Nigeria for the best interest of their
members. Even through managers and
employers may sometime appears as opposed to all fringes they have invested and
advertised any of their own. Those is
in recognition of the fact that many benefit offers possibilities of
implementing their polices to improve employee morale, to encourage order
absenteeism, and to assist employee in identifying their personal goals and
interest with those of the organization.
Hence, employees have come to regard fringe benefits as production which
are charge along with other firms of remuneration.
1.6 REFERENCES
Gleck W. F.
(1998) Personal: A Prognstic Approach
Texas,
Business Publication Inc.
Nwachukwu
C. C. (1981) Executive Fringe Benefit,
Ododuwa;
Business Times No 2 Page 15.
Akinla, E.
A (1977) Negative Role of Fringe Benefit,
Business
Times No 15 Page 24.
Ejiofor, P.
N. D (1977) Government Spending
Pattern
and Inflation in Nigeria Threat Better Resource of Management Nigeria Journal
of Business Management.