60 employees engaged with Industrial and General Insurance (IGI) Plc have allegedly lost their jobs due to prolonged liquidity issues encountered by the company.
Nairametrics gathered that sack letters were distributed to the affected workers through WhatsApp.
Workers protest: The news was met with stiff resistance as several staff members protested the decision to terminate their engagements after being owed arrears of 20 months salaries.
They caused a scene at the company’s headquarters in Lagos, carrying placards and chanting solidarity songs.
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Why the workers were sacked: The development was confirmed by the spokesperson of the firm, Mr Steve Ilo, who affirmed that the sack of the employees was imperative to move the company forward.
“It’s true some workers were disengaged in continuation of the ongoing turnaround programme aimed at reviving the company.
“Those affected came to our office in the morning to protest the decision. For the management, it was a hard decision to make. But the measure was long overdue and it had to be taken in order to save the company from sudden death,” he said.
According to the Chairman, Coalition of IGI Staff, Samson Onipede, the firm had fallen on hard times and staff members made numerous sacrifices for the company to stay afloat.
“IGI has been going through liquidity issues overtime and staff members have been enduring and sacrificing for the company. But when the MD came in eight months ago, everyone thought that she would take the company in a new direction to save it from liquidation, but it turned out to be a mistake,” he explained.
Outstanding salaries: However, Nairametrics learnt that the Managing Director, Racheal Emenike, refused to pay the disengaged workers their outstanding salaries, as she reportedly claimed that the debt was not incurred during her tenure.
Restructuring efforts: In 2016, IGI moved its corporate head office on Victoria Island, Lagos to a new location in continuation of the restructuring process introduced by the management to reposition the company for greater efficiency
The then Managing Director, Mr. Rotimi Fashola, said the relocation from the rented facility, was part of the strategic measures aimed at improving liquidity and operational efficiency.
In 2017, a new management team was constituted by the firm to oversee the affairs of the company. as part of its restructuring programme aimed at repositioning the firm for optimum performance.