The management of Industrial and General Insurance (IGI) Company Plc, has explained reasons for the recent mass retrenchment embarked upon by the company, which elicited protest by the aggrieved work force.
The company, said despite the difficult economic challenges it was facing, it had been overburdened with a bogus wage bill arising from defective human capital deployment.
She explained that in a bid to arrest the situation, the board had launched a strategic and holistic turnaround programme early this year under a new management with a view to putting a halt to the company’s declining fortunes and restore growth while stabilising its future.
She explained further that because the management could no longer sustain the staff load under the very difficult circumstance, the company took the decision.
“This exercise prompted some tough decisions that are critical success factors.
“The company is working assiduously to meet the recapitalisation deadline of the National Insurance Commission (NAICOM). We are optimistic of eventual outcome and are encouraged by the level of our progress so far on the turnaround initiative.
“We are aware of today’s realities in the insurance industry which necessitate that companies return to the drawing boards to re-strategise in order to remain in business.
“We wish to assure all our stakeholders, particularly our customers, shareholders, staff and other business partners, that IGI is applying the right strategies and moving in the right direction. There is therefore unassailable cause to be hopeful for a better future,” she said.
Recently, aggrieved employees of the company, issued warning to the management to rescind its decision to retrench majority of the company’s work force or face industrial action.
The protesters, urged the management under the leadership of Emenike, to withdraw all sack letters served to the employees through the same medium they were disseminated to avoid chaos in the company.
The workers, had accused Emenike of being biased, pointing out that those affected by the retrenchment exercise were mainly members of the ASSBIFI and NUBIFIE under the umbrella of the Coalition of IGI Staff.
“The exercise which was largely executed on the social media of WhatsApp on 15th October, 2019 is hereby rejected in its entirety as it has been done in very bad faith, being the fall out of our letter to the board of directors on your anti-staff management style since you assumed the position of MD in the company coupled with the quiet but formal inauguration of our membership of the NUBIFIE and ASSBIFI,” said the workers.