The National Industrial Court of Nigeria, Awka Judicial Division, has affirmed the statutory powers of the Nigeria Social Insurance Trust Fund Management Board to enforce compliance with the Employees’ Compensation Act, 2010.
The court gave the judgment on June 4, 2026, in Suit No. NICN/AWK/56/2025, filed by the NSITF Management Board against the Anambra State Investment Promotion and Protection Agency.
In the judgment, the court held that ANSIPPA, being an employer under the Employees’ Compensation Act, is legally required to make monthly contributions to the Employees’ Compensation Fund and provide accurate payroll records to the Fund.
The court granted key declaratory and mandatory reliefs sought by the NSITF and upheld Reliefs 1, 2, 3, 4 and 5 contained in the originating summons, confirming that the defendant must comply with all statutory obligations imposed by the Act.
However, the court declined the NSITF’s request for immediate payment of estimated liabilities and penalties, as well as the request for an order sealing the agency’s premises.
Instead, the court directed that ANSIPPA be subjected to a comprehensive compliance inspection by officers of the NSITF Awka Branch.
The court further held that any liabilities established through the inspection and assessment process would be binding on the agency and payable in accordance with the law.
It also awarded ₦500,000 as litigation cost against ANSIPPA.
The NSITF was represented by Onunkwo Petermaximus Emeka, who prosecuted the case on behalf of the Fund.
The judgment is considered significant in the enforcement of the Employees’ Compensation Act, a federal law designed to protect employees by providing compensation for workplace-related injuries, disabilities, illnesses and deaths.
Legal observers say the ruling reinforces the statutory authority of the NSITF to monitor employer compliance and enforce contributions to the Employees’ Compensation Scheme across both public and private sectors.
The decision is also expected to serve as a warning to employers who fail to meet their obligations under the law, as it underscores the court’s willingness to compel compliance through inspection, assessment and recovery of legally established liabilities.
The NSITF described the outcome as a major step towards strengthening employee welfare protection and improving compliance with workplace compensation regulations in Nigeria.
The post “Employers Must Comply With Compensation Act” — Court Affirms NSITF Board’s Powers, Orders ANSIPPA To Submit To Inspection And Pay Established Liabilities appeared first on TheNigeriaLawyer.
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