Debunks alleged FG’s directive on palliatives
AKINWALE ABOLUWADE
The authorities of Sumal Foods Limited, a food processing company based in Ibadan, the Oyo State capital, has described as unfounded and deliberate misrepresentation of facts, the viral publications in some newspapers and online blogs that the company failed to implement Federal Government’s directives on fuel subsidy palliatives.
Sumal, in a statement made available to journalists in Ibadan today, also described as untrue claim that it refused to increase salaries of workers amidst the current inflation in the country.
As well, the food processing company also stated that it was total falsehood that the management invited the security agents to stop the protesting workers as claimed in the publications.
Describing the publications as an attempt to malign its business reputation, the management of Sumal Foods Limited said that it was not aware of any directives by the Federal Government to the organized private sector to implement subsidy palliatives for its workers.
However, it stated that the company was only aware that sometimes in August 2023, the Federal Government announced a N5 billion palliative for each state of the federation, including the Federal Capital Territory, to cushion the impact of the removal of the petrol subsidy.
The company affirmed in the statement that Sumal did not receive any subsidy relief in form of tax holiday or otherwise from any strata of government in Nigeria.
It further clarified that as things stand currently, the company do not owe any worker, adding that following its agreement with the workers union, it implemented 13per cent salary increment, and 3per cent increase in basic salary to cushion the effect of fuel subsidy removal.
The statement further stressed, “Also, as from 14th December, 2024, an employee becomes entitled to 14per cent general salary increase.
“Sumal immediately in December, 2023 implemented the Collective Agreement and also increased the transport allowance of the workers by 6.63per cent. The second phase of the Collective Agreement is scheduled to start on 14th December, 2024.
“However, Sumal understanding the plight of the workers, implemented the second phase of the collective agreement from July, 2024 which has been communicated to the employees in June 2024.
“It is not correct that Sumal invited security outfits to stop the protesting workers. It is the practice that Police personnel are always stationed in the factory. The Policemen did not interfere with the protest until hoodlums hijacked the protest and turned it to a riot.
“The workers and their outside helpers embarked upon destruction of properties and set one car ablaze. Work activities was also put to a halt. At this point, Police personnel intervened only to prevent further destruction. The rioters immediately pounced on the Police officers such that a senior police officer is currently battling for his life at a hospital.”
