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Cash for Jobs : Banking sector job scam
on october 27, 2013 at 5:01 am in business
By Funmi Komolafe
This report is the culmination of weeks of
investigation into the scam that is disguised as tests
for unsuspecting job seekers in the banking sub-
sector of the Nigerian economy. The findings are
shocking as much as they are bound to affect your
sensibilities of decency and morality. Because of the
sensitive nature of this matter, more so the broad
scope of our on-going investigations, particularly the
need not to jeopardize this work, we have
deliberately decided not to reveal the identities of
the job-seekers and the bank in question – mind you,
some other banks are involved in this scam.
However, as we gather more facts and by the time
the investigation runs its full course, we may then be
able to disclose the identities of all the parties
concerned.
Sometime in 1986, the then minister for labour and
productivity, then Rear Admiral Patrick Sebo Koshoni,
during his ministerial press briefing announced that
about one million Nigerians were unemployed.
Even at that time, the figure he gave was regarded
as an under estimation of the problem of
unemployment which became visible in many
Nigerian homes about three years earlier.
Indeed, during the last days of the civilian presidency
of President Aliyu Usman Shehu Shagari the problem
grew fangs, but it was the government of military
president Ibrahim Babagida that officially took steps
to address the issue of unemployment especially
among the youths. The Babagida administration
through his ministers of labour sought and got the
assistance of the International Labour Organisation to
create jobs in the informal sector. The consequence
of which was the setting up of the National
Directorate of Employment to create jobs in the
informal sector.
Apart from this, another minister of labour in the
Babagida administration, then Brigadier-General Ike
Nwachukwu, during a ministerial briefing called on
banks to use part of the huge profits to engage a
number of young graduates. All of these efforts
didn’t do much to tackle the unemployment problem
as it got compounded with the high number of
graduates turned out by the universities.
The influx of foreign investors into Nigeria did not
stem the tide of unemployment either. Rather, it was
the era in which Nigerians were subjected to the
worst working conditions in the name of attracting
foreign investors. Many of these so-called investors
have subjected Nigerians to dehumanizing working
conditions. The Ikorodu factory fire of 2002 in which
workers were roasted comes to mind. That wasn’t an
isolated case. A particular company owned by the
Chinese located in Ogba Lagos, had its machine chop
off hands and fingers of employees and the
organization has not been sanctioned in any form.
It was also an era in which the so-called “ New
Generation Banks” came into business. Banks
pretending to be doing business in a manner
unknown to the older banks. These ‘ new generation
banks’ barred their employees from trade union
activities. They also do not belong to the Nigeria
Bankers Employers Group or even the Nigeria
Employers Consultative Association ( NECA).
It was and still is a culture of impunity.
Even with the pretensions to new ways of banking,
they are not known to have created jobs that have
been of any significant impact on the economy.
However, a current development in a bank prompted
an investigation which culminated in this report.
Ms. Josephine ( actual name withheld) a graduate of
the University of Lagos some two years ago, while
desperately searching for a job, she got on line to a
company “ U Connect” . The company on its web site
listed its services as “ Recruitment, Outsourcing,
Placement, Training , Quality and Management”.
This graduate was then invited along with others to
come and write tests for a job.
President Jonathan and Emeka Nwogu, Minister
of Labour and Productivity. while at the the
background job seekers scramble for few job
opportunities.
“We were not told what type of job it is” she said.
“After we had about three tests, some of us were
shortlisted and then invited for another round of
tests when the recruiting officer told us we were
being engaged on behalf of a bank”.
After the first round of tests, Josephine and others
were told that U Connect has concluded its own side
of the recruitment and that the Bank (name
withheld) though quite accessible would take over.
The bank did.
After another round of tests, the applicants were
congratulated for scaling through. If they thought
their problems of joblessness were over, and a new
life was ahead, they were dead wrong.
The applicants, young graduates (men and women),
were told to go and find for the bank 10 customers
who must open new accounts with the bank and
deposit at least N100,000 ( One hundred thousand
Naira). In other words, they were to source for the
bank One Million Naira. Simple, No money, no job.
Ngozi, (real name withheld) was able to find new
customers who deposited about N850,000 . With
that, she thought she would be commended. Rather,
she was booted out. She was disqualified from the
training programme, the next phase of her tests
because she failed to find customers who could
deposit One million Naira.
Another applicant who was able to raise a million
Naira from four depositors was knocked off the next
state. Why?
She was told that she had not met the requirement
of securing for the bank 10 depositors.
Another applicant, Akintoye (real identity protected)
was able to source for 10 Customers who met the
deposit target of One million but his aches had just
started. The young graduate, was told that to be
allowed to participate in the training programme to
be conducted somewhere in Ikeja, he must source for
the bank, a Guarantor who must deposit with the
bank N2,000,000 (Two million Naira).
Why?
”We were told that the training programme is quite
expensive and that it would be conducted by Havard
Business School. We were also told that we would
have to sign a bond that we would not quit the
services of the bank for any reason within two years.
If we do, then the Guarantor forfeits his deposit”.
Sunday Vanguard obtained a copy of the letter
issued to the would be employees.
It states “ Thank you for honoring our interview
invitation; please be informed that you are required
to do the following:
”Option 1: Open 10 accounts with a total cumulative
balance of N1million (Minimum of N100,000 in each
of the accounts) OR ”Option 2. : Open a fixed deposit
of N5million for 180 days.
For whichever option you choose, please go to any
Bank branch closest to you to obtain account opening
forms for this exercise.
This exercise
A minimum of 10 account opening forms for Option 1
a minimum of 1 account opening form for Option 2
”All accounts must be tagged for reference and easy
tracking.
Also, find below the format for which the details of
the account opening exercise should be sent to the
underlisted email addresses…………..
(A list of the bank’s staff email addresses are
provided for the applicants but because of the scope
of this investigation we are not at this moment going
to reveal some details about the bank as this may
jeopardize on-going investigations into this
scam).Deadline for the exercise is : 18th October
2013 by 12 noon
The format to send the details of account shows: S/N,
Name, Account Number and Amount ( N).
However, the letter was not signed. All efforts to
speak with Corporate Affairs Manager of the bank
were unsuccessful as the line was not available.
Having gone through Nigeria’s labour laws, one
cannot find a single sentence that supports these
conditions given to applicants by the bank.
Further investigations showed that U-Connect, the
company where this started sent this SMS to the
affected applicants “You are invited for an interview
( GRADUATE TRAINEE LEVEL 1) on Thursday
27/06/13 by 12 noon at U-Connnect, 5, Ogbunike str,
behind Avalon House, off admiralty way, Lekki 1,
Lagos. Come with photocopies of all credentials , CV
and passport.
Sunday Vanguard called U-connect to ask if it is
registered with the ministry of labour and
productivity.
A female voice responsed, “ yes we are” but she
seemed not sure and said, “I will connect you to the
Human Resource Dept. I’m only a front desk officer”.
At the back ground, a male voice instructed her to
tell the caller to “call back”. She got back on the
phone and asked that we call back in 30 minutes.
The call was made to U-connect on October 10, 2013.
Since then, it had not been possible to reach the
company on the phone again.
Because of the nature and sensitivity of this
development, the outcome of further investigations
suggested that U-CONNECT may not be a registered
member of the Human Capital Providers Association
of Nigeria (HuCaPan) which is affiliated to the Nigeria
Employers Consultative Association.
HuCaPan has a Code of Coduct which was launched
early this year by the permanent secretary, federal
ministry of employment, labour and productivity, Dr.
Clement Illoh.
Objectives of the Code of Conduct – “ This Code of
Conduct sets out the principles that shall guide the
Private Employment Industry. The standards in this
Code of Conduct shall be observed by all those
involved in Private Employment industry in Nigeria.
This principle based approach is intended to
maintain and enhance consistency, fairness,
transparency, accountability and diversity in
recruitment practices. This Code provides Private
Employment Agencies with a clear and concise guide
to the approach it must take to ensure a fair, open
and transparent process that produces a quality
outcome and commands public confidence. It is
intended to contribute to the development of best
practice in the field of recruitment and general
human capital development.
”This Code of Conduct shall provide a framework
based on the global best practice employment
principles. It recognizes that Private Employment
Agencies require flexibility to deal efficiently and
effectively with the diverse range of services they
provide. Accordingly, the Code shall enable Private
Employment Agencies to adopt strategies and
develop processes to implement the principles
effectively. All agreements signed under this Code
must also comply with relevant employment and
equality legislation in Nigeria”.
Code of Conduct- Principle 3 Respect for
Transparency of Terms of Engagement states “PEAs
shall ensure that workers are given details of their
working conditions, the nature of the work to be
undertaken, rates to pay and pay arrangements and
working hours. This principle obligates Private
Employment Agencies to inform employees of the
conditions applicable to the contract or employment
relationship”.
Principle 4 Respect for free-of-charge provision of
services to jobseekers “PEAs shall not charge directly
or indirectly, in whole or in part, any fees or costs to
prospective employees and workers, for the services
directly related to temporary assignment or
permanent placement”.
All that is required is registration with the federal
ministry of labour and productivity.
Trade Unions kick, call for CBN sanction
The acting general secretary of the Nigeria Labour
Congress, Comrade Chris Uyot said, “ Labour is
concerned but government should be interested too.
This is a serious matter. The situation in the country
should not be an excuse for multinationals and banks
to exploit our youths. We’ll hold the Central Bank of
Nigeria responsible.”
Comrade Uyot vowed that NLC will support whatever
action the unions in the banking sector take.
He emphasized, “This act is a form of corruption.
They are making prostitutes of youths. It is simply
Corporate Prostitution. It is not enough for the
government to claim to be tackling corruption
without addressing issues like this. We condemn it in
totality. The banks should not be allowed to turn
Nigerians to slaves”.
The President of the Association of Banks, Insurance
and Allied Institutions, Comrade Olusoji Salako also
condemned the conditions given by this accessible
bank in totality.
He told Sunday Vanguard, “We are against such
things. It is alien to our sector. By the time you make
money a condition for employment, why are we
talking about money laundering. So, even armed
robbers, and 419 people can make deposit with such
a bank”.
Salako condemned in strong terms the conditions
attached to the training of new employees.
“ Placing value on training is improper. The duty of
the organization is to train people. We are against
this. If it is true, it is uncalled for . It is against the
standard in the industry. The Central Bank of Nigeria
( CBN) should call the bank to order”.
So, why do these banks get away with non-
compliance with labour laws, what can ministry of
labour do?
Comrade Salako said, “the federal government
should develop the political will to enforce our law”.
He said, unfortunately, those who run these
businesses where unions are not allowed , where
labour laws are violated with impunity make up the
government’s National Economic Management Team.
“They are the big donors to the government’s party
and programmes”.
He recalled that during the administration of
President Umar Musa Yar’Adua, representatives of
labour were included in the Economic Management
Team but the administration of President Goodluck
Jonathan excluded labour’s representatives.
Contact with Government
Sunday Vanguard contacted the minister of labour
and productivity, Chief Emeka Wogu via an sms and
he replied that the ministry had noted it. It is
expected that action would be taken.
NLC condemns employers’ tactics in banks . Rising
from its national executive council meeting in
Kaduna,
The Nigeria Labour Congress, in a communiqué
signed by its President, Comrade Abdulwaheed Omar
and Ag. General secretary, Chris Uyot in its
observation on casualisation condemned the cash for
jobs policy in the banks.
It stated: NEC-In-Session observes that there is a
resurgence of casualisation of workers in the public
and private sectors across the country. This unholy
practice induces slave labour, prostitution,
psychological trauma and the violation of the rights
of these workers and does not in any way stimulate
productivity .
What employers of Labour are trying to do is take
undue advantage of hapless applicants or workers.
Exploiting the weak defences of this category of
people is not only morally reprehensible but defies
logic. Even if the private sector, out of corporate
greed, indulges in this unwholesome practice what
justification does government have in doing so?
Some banks have gone to the extent of compelling
their employees to meet a target of 6million a month
and securing of bonds that make a mockery of
plantation slave labour. Congress does not see how
this terrible practice stimulates productivity.
NEC resolves that the Nigeria Labour Congress shall
henceforth lead its affiliate unions against any
employer identified to be engaged in these
unwholesome practices by employing all known
trade union actions until such employer retraces its
steps”.
For hundreds of thousands of youths hoping to make
a career in banking, their dreams may never be
realised.
It is clear now that possession of the requisite
qualification isn’t enough, he or she has to be
connected to those who are able to save millions of
Naira otherwise, no job.
It’s simply an era of Cash for Jobs.


www.vanguardngr.com/2013/10/cash-jobs-banking-sector-job-scam/

Why is vanguard hiding the bank's Identity? It is Access bank. Their story is everywhere. Very inhumane management!

Not only single bank is involved in commiting such atrocities, i dont say all banks are like that. For instance i resigned from a bank on the 1st of Feb. 2013(contract job) the salary was #25,000 and the conditions were to open at least 6 accounts in a month with the minimum of #3,000000 on monthly basis and the minimum opening balance for any account is #250,000 each. The case was worsen by Dec. last year because we were paid #12,500 i.e 50% reduction; due to the fact that we were unable to met that criteria and the trend continued till Feb. this year and i choose to resign, suffering and smilling.

Front page material. These banks d yeye person career especially HND graduates who are forced to use their OND cert to work. No promotion,no salary increase. SMH. I hope this investigation will be pursued to a logical conclusion and anyone found guilty be dealt with for others to learn.