Business and Economy
FOCI Advocates urgent, comprehensive reforms in construction sector
The Federation of Construction Industry, FOCI, has called for comprehensive reforms in Nigeria’s construction sector, citing the need for improved regulatory frameworks, enhanced sustainability, and innovative practices.
FOCI National President Vincent Barrah who stated this in Abuja at the FOCI 68th Annual general meeting explained that Nigeria’s construction industry faces major challenges, including delayed projects, inadequate funding, and skills shortages, hindering the country’s growth and development.
Barrah specifically highlighted concerns regarding the Federal Ministry of Works’ new contract terms and directives for road construction projects, arguing that they contradict the Standard Conditions of Contract and disregard international best practices.
He emphasized the need for collaboration with stakeholders, including the Bureau of Public Procurement (BPP) and the Nigerian Society of Engineers (NSE), to formulate new contract terms
Barrah raised keys issues to include imposition of 15-year road durability warranty obligations on contractors, exceeding the agreed 12-month warranty period.
“Termination of contracts due to funding issues, violating Clause 68 of the Ministry’s SCC.
“Unilateral changes to contract prices without consulting contractors.
“Introduction of new policies without due process.
According to him, FOCI represents the largest employer of labour in Nigeria after the government, warning that unresolved issues will exacerbate socio-economic challenges and insecurity. Barrah called for urgent intervention from stakeholders to address the concerns.
“The Ministry of Works has introduced new parameters for road construction, including design specifications, reasonable construction periods, and no variations. “However, FOCI argues that these changes should not be imposed unilaterally.
On building collapse, the National President reaffirmed FOCI’s commitment to safety and quality, stating that none of its member companies have been involved in building collapse incidents in Nigeria.
He stressed that the federation’s members are reputable and notable construction companies, with a rigorous admission process ensuring their capability and effectiveness.
“The issue of building collapse has never been attributed to any FOCI member company,” the representative stated. “Our members are checked, and we have a policy and procedure in place to ensure their quality.”
In their various goodwill messages the President of the National Union of Civil Engineering Construction, Furniture and Wood Workers, Comrade Stephen Okoro, National President of Construction and Civil Engineering Senior Staff Association Ayodeji Adeyemo raised alarm over the plight of construction workers, citing the issue of casualisation and mass layoffs in the sector.
“A lot of workers were being laid off by construction companies and the trend was creating a crisis in the sector.
“Over 30,000 workers have lost their jobs and about 52,000 workers may lose their jobs if care is not taken.
“Over 20,000 have already lost their jobs in the last three months and 32,000 will also lose their jobs if the conflicts are not resolved.
Meanwhile, the Director General of the Nigeria Employers’ Consultative Forum, NECA, Adewale Oyerinde expressed concern over the incessant invitations and summons of organised businesses by Committees of the National Assembly for investigative hearings, urging them to await the Supreme Court’s ruling.