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Nigerian Labour Law

NSITF (Nigeria Social Insurance Trust Fund)

NSITF administers Nigeria's Employee Compensation Scheme (ECS), which pays compensation to workers injured, disabled, or killed in work-related accidents. Employers must register and pay monthly contributions of 1% of payroll.

Legal Definition

The Nigeria Social Insurance Trust Fund is established under the NSITF Act and administers the Employee Compensation Scheme (ECS) under the Employee Compensation Act, 2010. The ECS provides no-fault compensation to employees (or their dependants) for injuries, diseases, or death arising from or in the course of employment. Key points: - **Employer contribution**: 1% of total monthly payroll, remitted to NSITF. - **No-fault**: An injured worker does not need to prove employer negligence — only that the injury arose in the course of employment. - **Benefits**: Medical treatment costs, temporary total disability payments (90% of earnings), permanent disability lump sum, death/survivors' benefits. - **Coverage**: All private sector and some public sector employees. To claim, an employee must notify their employer within 8 days of injury, get medical treatment at an accredited facility, and complete NSITF claim forms. Claims are processed by the NSITF regional office. An employer who fails to register or remit contributions faces prosecution.

📖 Constitutional / Statutory Basis: Employee Compensation Act, 2010; NSITF Act (Cap N135 LFN 2004)

Practical Example

A construction worker falls from scaffolding and fractures his leg. His employer is registered with NSITF. He files a claim through NSITF and receives payment for medical bills and temporary disability allowance while he recovers.

Frequently Asked Questions

What if my employer is not registered with NSITF and I am injured at work in Nigeria?
An unregistered employer commits an offence. You can still file a claim with NSITF — the Fund pays your compensation first and then recovers the money from the defaulting employer. You can also sue the employer for common law negligence.
Does NSITF cover occupational diseases in Nigeria?
Yes. The Employee Compensation Act covers diseases that arise from or are linked to occupational exposure, including respiratory diseases from industrial dust, skin diseases from chemicals, and hearing loss from noise — if the connection between the disease and employment can be established.

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