E-Financial
Hidden Shame of Contract Workers in Nigerian Banks- Al Jazeera
A report by Al Jazeera has documented the hidden shame of Nigerian banking system where contract staffers in financial institutions live poverty line.
Poverty wages are typical for thousands of contract workers in the banking industry and they can work for years without a raise, promotion, benefits or job security.
According to Al Jazeera, contract staffing has been a feature of Nigeria’s labour market for decades, but it is especially rife in the banking and oil sectors
The report said that for Basit, climbing the corporate ranks of commercial banking in Nigeria has been an exercise in frustration.
The 28-year-old, whose name has been changed to protect his identity, has worked as a teller with Fidelity Bank in Nigeria since 2015.
Six years on, he is at the same branch, working at the same entry-level position, for the same meagre salary of N68,000 ($165) a month.
It is not Basit’s work ethic that is lacking, but the arrangement under which he works.
He is not technically a full-time employee of Fidelity. The entire time he’s worked there, he’s been a contract staffer hired by an employment agency he has never dealt with directly.
Being a contractor means Basit has no upward career path within the bank, or benefits such as insurance, a pension, or a severance package if he’s let go.
If Fidelity’s management is not happy with his services, or they just want to cut expenses, they can let him go when his contract comes up for renewal every two years.
In the meantime, the employment agency siphons off a portion of his pay each month as a “commission”.
Fidelity Bank did not respond to Al Jazeera’s request for comment. But Basit’s story is far from unique.
More than 42 percent of the bank workers in Nigeria were contract staffers as of the third quarter last year, reports the National Bureau of Statistics.
The remainders are full-time employees with banks – roughly a third of who are senior staffers.
Though unionists and government officials say the issues surrounding contract bank workers are being addressed, solutions have been slow to come.
And until they do, there are few employment options for the banking sector’s largely youthful contract workforce to explore.
More than 42 percent of bank workers in Nigeria were contract staffers as of the third quarter last year, reports the National Bureau of Statistics.
Profits before workers
Basit often thinks of quitting his job as a bank teller.
But there are few prospects for him in Africa’s largest economy.
Nigeria’s official unemployment rate rocketed to 33.3 percent in the final three months of last year – the highest on record and among the highest in the world.
Over half of the country’s roughly 70 million-strong labour force was either jobless at the end of last year or not working a full-time job.
That jobs deficit has made it an employer’s market, leaving workers virtually powerless to negotiate – let alone demand – better terms.
In Basit’s case, that means punishing 10-hour days that leave him little time to even explore the few opportunities which may be available to him.
‘’The challenge is that you barely have the time to go search for a job elsewhere,” he told Al Jazeera.
“You leave the house as early as 5 or 6am and you get back by 6pm or so. How do I get back as tired as this and I still start searching for job opportunities when I know that there are only few?’’
Contract staffing has been a feature of Nigeria’s labour market for decades, but it is especially rife in the banking and oil sectors.
Over half of Nigeria’s roughly 70 million-strong labour force was either jobless at the end of last year or not working a full-time job.
For Nigeria’s unionists, the so-called “casualisation” of these workers is the result of financial institutions carving out bigger profits at the expense of labour rights.
“Generally, outsourcing, as far as labour is concerned, is an exploitative system,” said Comrade Sheikh Muhammed, national general secretary for the National Union of Banks Insurance and Financial Institution Employees (NUBIFIE).
Retired bank manager Abolarian Aderemi worked in banking for more than 30 years. He says the plight of contract workers is the result of poor government oversight.
“They are exploiting Nigeria’s poor leadership,” he said. “Labour union has been kicking against it, but nobody listens.”
Muhammed says contract workers face serious hurdles to joining or forming unions where they can collectively bargain for better pay and conditions.
“[Banks] take on casual workers in order also to make sure they confuse the identity and status of the worker so that they will not be able to exercise their right of belonging to anyone,” he told Al Jazeera.
The government has established a committee to review the myriad issues surrounding contract workers in the country’s banking sector. But its efforts were disrupted by the coronavirus pandemic, Nigeria’s Minister of State for Labour and Employment, Festus Keyamo, told Al Jazeera.
“We want to review the whole issue regarding casualisation of workers with the banks and we are also in the process of reviewing all the labour laws now,” he said.
Muhammed said the review should help crack down on labour abuses.
“By the time the review is signed into a working document, no outsourcing will be done [in the banking and insurance sector] without consulting the union and taking cognizance of workers as reflected in the Labour Act,” he said.
A jobs deficit has made it an employer’s market in Nigeria, leaving workers virtually powerless to negotiate – let alone demand – better terms.
Young and exploited
While Nigeria has rules that govern working conditions for full-time staff, the law does not specifically address “triangular employment’’ that covers workers hired through employment agencies.
‘’From the legal perspective, there is nothing illegal about having contract staff; it is a function of contract,” said Waleey Fatai, a Lagos-based labour lawyer.
“From the moral perspective, [it is an issue of] half a loaf is better than none,” he told Al Jazeera.
NUBIFIE’s Muhammed says the problem is not how the current laws are worded, but that employment agencies are falling afoul of it.
“The Labour Act that regulates the relationship did not exempt you because you are a secondary provider of employment,” he said. “It is part of the things we capture in this memorandum of agreement we just worked on.”
But not all contract workers may even be aware of their rights. Many employment agencies look for entry-level candidates in their early 20s with an Ordinary National Diploma (OND), the lowest tertiary degree in Nigeria awarded by polytechnics after a two-year programme.
A higher degree may even work against a job applicant.
Thirty-eight-year-old Ukamaka Olisakwe worked in two banks as a contract staffer between 2008 and 2014 in Nigeria’s east.
She told Al Jazeera the first bank that employed her told her to list her OND on her application but omit her more prestigious Higher National Diploma (HND) – a four-year degree that equates with a bachelor’s degree.
‘’I think they found a loophole in the academic system,” Olisakwe told Al Jazeera.
She said her first bank paid her a meagre base salary of N25,000 a month [$61] plus commission, and assigned to her work in the sales department where she was given performance targets including opening five to six new accounts daily, and generating monthly cash deposits often totalling millions of naira.
“The target heaped on the back of the workers was nasty, unbelievable, [and] mind-bending and if you are unable to meet [the performance targets], you won’t get your commission,’’ she said.
Olisakwe left that job and took a contract position with another bank where she worked in the customer service office alongside full-time, core staff.
‘’It is the same job function that I was doing with the core staff, only that I could not approve account openings,’’ she said.
But her odds of gaining an equal footing with the full-timers were slim.
In order to parlay a contract job into a full-time staff position, workers must take a conversion exam. But few are invited to take the test.
‘’Conversion rarely happens. They will only hand-pick some people,” she said.
Olisakwe finally quit the sector, worried that even if she did manage to convert a contract job into a full-time position, she would eventually fall victim to age discrimination.
“You know polytechnics churn young people every year and when they come for training, the banks retain them to replace the older staff,” she said. “It is cheaper.’’
NGX Regulation Limited (NGX REGCO), a wholly owned subsidiary of Nigerian Exchange Group (NGX Group) has sanctioned five trading license holders for alleged market manipulation and other prohibited trading activities, imposing fines totaling N291million.
In a notification dated March 27, 2026, and addressed to Emomotimi Agama, director-general of the Securities and Exchange Commission (SEC), the regulator said the decision followed deliberations of its Regulatory and New Business Committee (RNBC) held on March 16 and 24, 2026.
The sanctioned firms are CSL Stockbrokers Limited, Cowry Securities Limited, Meristem Stockbrokers Limited, SMADAC Securities Limited, and Associated Asset Managers Limited.
NGX RegCo stated that the cases were escalated by its Investigation Panel after hearings on February 25 and March 17, 2026, which uncovered repeated infractions such as wash trades, self-matching transactions, artificial price formation, and misleading market activity.
CSL Stockbrokers was fined N91.29 million, while Cowry Securities, Meristem Stockbrokers, SMADAC Securities, and Associated Asset Managers were each penalized N50 million in accordance with the Investment and Securities Act 2025.
The Exchange also directed the affected firms to undertake mandatory compliance and market conduct training to reinforce regulatory adherence and enhance market discipline.
It noted that the sanctions are proportionate to the violations and are intended to deter future misconduct, reaffirming its commitment to safeguarding market integrity, protecting investors, and strengthening confidence in Nigeria’s capital market.
Federal government has launched the “Cross-Border Digital Payments and Identity in Nigeria under the AfCFTA” report, urging stakeholders to unlock trade opportunities for Micro, Small and Medium Enterprises (MSMEs) to access the $3.5 trillion African Continental Free Trade Area (AfCFTA) market.
The high-level report, hosted by the Office of the Vice President in collaboration with ODI Global under the Supporting Investment and Trade in Africa (SITA) programme, was unveiled by Ibrahim Hassan-Hadejia, deputy chief of staff to the President, in Abuja.
Hassan-Hadejia described the research as both timely and strategic, noting the strong coordination by the Office of the Vice President and the leadership of the Federal Ministry of Industry, Trade and Investment.
He revealed that the cross-border payments report followed earlier milestones, including the development and launch of Nigeria’s Digital Trade Strategy and a capacity-building programme for subnational leaders.
Furthermore, he said Nigeria is increasingly assuming a leading role in shaping the digital trade agenda across the African continent, necessitating that the country remains at the forefront of AfCFTA implementation.
He noted that deepening engagement with AfCFTA and enabling businesses, particularly SMEs, to conduct seamless cross-border transactions will be critical to unlocking trade, fostering growth, and creating jobs.
He further stated that efficient cross-border payments, supported by trusted digital identity systems as recommended in the report, will be key to realising President Bola Ahmed Tinubu’s Renewed Hope vision for Nigerian MSMEs.
The Deputy Chief of Staff also observed that while the report identifies the Pan-African Payment and Settlement System as a critical platform for cross-border digital payments, Nigerian fintech firms such as PalmPay and Moniepoint, which have some of the largest and most active user bases, will play a pivotal role in driving adoption.
He assured that the Federal Government remains committed to strengthening critical infrastructure, regulatory frameworks, and partnerships to ensure Nigeria is not only ready for digital trade but continues to lead.
“I appreciate the efforts of all stakeholders and urge us to move AfCFTA beyond a continental agreement to a $3.5 trillion trade juggernaut that will reinvigorate our industries, unlock intra-African trade, and domesticate African prosperity,” he added.
He said “intra-African trade will be driven not only by large corporations but by small businesses empowered through digital trade and e-commerce, while noting that issues of trust, identity, and logistics, as highlighted in the report, must be addressed”.
Commenting on the report, Temitola Adekunle-Johnson, special Adviser to the President on Job Creation and MSMEs, said the report – developed under the purview of the Office of the Vice President-would significantly strengthen the MSME ecosystem.
He expressed optimism that the report’s findings and recommendations would enable Nigerian SMEs to achieve seamless access to continental markets.
Salihu Dasuki, special Assistant to the President on ICT Policy, Office of the Vice President, disclosed that the office, in partnership with development partners, has developed a framework to fast-track seamless cross-border payments for MSMEs.
He added that “a key pillar of President Tinubu’s Renewed Hope Agenda is enabling Nigerians to access digital trade, which informed the capacity-building programme conducted for subnational governments last year”.
Shuda Ahmed, special assistant to the President on Project Support, Office of the Vice President, commended ODI Global for leading the research underpinning the report.
She noted that without seamless and affordable cross-border payment systems, MSMEs across the continent would be unable to scale beyond their domestic markets.
The event was attended by officials of ODI Global, representatives of AfCFTA, the National Information Technology Development Agency (NITDA), National Identity Management Commission (NIMC), Nigerian Petroleum Development Company (NPDC), Federal Competition and Consumer Protection Commission (FCCPC), and MSMEs, among other key stakeholders.
E-Financial
Interswitch Deepens Strategic Partnership with KCB Group to Advance Digital Payments and Financial Inclusion
Interswitch, Africa-focused integrated payments and digital commerce enabler, has reaffirmed and expanded its longstanding partnership with KCB Group within the East Africa region, marking a significant milestone in the drive to accelerate seamless, secure, and inclusive digital payments across the region.
During a recent executive engagement at KCB Group Headquarters in Nairobi, Interswitch Founder and Group CEO, Mitchell Elegbe, led a cross-functional delegation from the company’s Lagos and Nairobi offices, including Interswitch’s Kenya Country General Manager, Bernard Kinara, in high-level discussions with KCB leadership, including Group CEO, Paul Russo, and Director of Strategy & Innovation, Mark Mwongela.
The engagement reinforced both organizations’ shared commitment to scaling digital payment infrastructure and delivering innovative financial solutions that meet the evolving needs of individuals, businesses, and institutions across the region.
Interswitch recently announced an expansion of Verve card acceptance footprint in Kenya, leveraging it’s consolidated partnership with KCB Group, Kenya’s largest financial services group by assets, following a similar move in Uganda through the local KCB Franchise in February 2022.
At the core of the strengthened collaboration is the integration of Interswitch’s robust payment rails, card scheme, and emerging digital token solutions with KCB Group’s expansive regional footprint and trusted banking franchise. This integration enables the acceptance of Verve cards and tokenized payment solutions across KCB’s extensive merchant point-of-sale network in Kenya and Uganda, significantly enhancing everyday usability for customers while strengthening KCB’s digitally driven retail payments offering.
The consolidated partnership is expected to drive increased merchant acquisition, improve interoperability across payment ecosystems, and expand access to secure, cashless transactions. It also reinforces both organizations’ shared objective of deepening financial inclusion and accelerating digital commerce across East Africa.
Speaking on the strategic engagement with KCB Group, Mitchell Elegbe noted:
“Our collaboration with KCB Group represents a powerful alignment of vision and capability. By combining our technology-driven payment solutions with KCB’s strong regional presence, we are unlocking new opportunities to scale access, drive innovation, and deliver greater value to customers across East Africa.”
As digital transformation continues to reshape Africa’s financial services landscape, Interswitch and KCB Group remain focused on building resilient, interoperable systems that empower businesses, support economic growth, and drive broader participation in the digital economy.
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