The Federal Ministry of Labour and Employment has issued a strong warning to banks and insurance companies to ensure that workers are not adversely affected by the ongoing recapitalisation and restructuring efforts within the financial sector. This call was made during the 2026 World Day for Decent Work celebration, organised by the Association of Senior Staff of Banks, Insurance and Financial Institutions (ASSBIFI) in Ikeja, Lagos.

At the event, Mrs. Mienye Badejo, the Zonal Director for the South-West and State Controller of the Ministry, highlighted the dual nature of the changes brought about by recapitalisation, noting that while these reforms are essential for strengthening the financial sector, they should not compromise workers’ rights and job security. Represented by Mrs. Franca Shaahu, an official from the Ministry, Badejo stated that the ongoing reforms are reshaping the landscape of the banking and insurance industries, with young workers being particularly impacted.

Badejo pointed out that young professionals, who are seen as the future of these industries, face significant challenges during this transitional phase. She outlined several issues that could arise, including job displacement due to automation and restructuring, along with increasing performance pressures and uncertainties in evolving workplace arrangements.

The Ministry underscored the importance of involving young workers in decision-making processes related to workplace reforms and technological transitions. It emphasized that these workers should have access to secure employment, continuous skills development opportunities, and decent work conditions that allow them to build sustainable careers.

As the financial sector continues to evolve, the Labour Ministry's call to action serves as a reminder that while reforms are necessary for growth, the welfare of workers should remain a priority. Ensuring that employees are supported during this period is crucial for maintaining morale and productivity within the industry. The Ministry's stance reflects a broader commitment to safeguarding workers' rights amid significant changes in the financial landscape.