Former Nigeria Labour Congress (NLC) President, Comrade Ayuba Wabba, has cautioned the government against plans to scrap the Tertiary Education Trust Fund (TETFund).

He warned that such a move would have devastating consequences for universities and other tertiary institutions in Nigeria.

Wabba’s warning comes amid deliberations on tax reform bills at the National Assembly, which propose a reduction in TETFund allocations. The bill suggests that starting in 2025, only 50% of the Education Tax will go to TETFund, with the remainder allocated to the Nigerian Education Loan Fund (NELFUND). It also outlines plans to phase out TETFund entirely by 2030, redirecting all education tax proceeds to NELFUND.

Speaking at the National Leadership Retreat organized by the Senior Staff Association of Nigerian Universities (SSANU) in Abuja, Wabba emphasized TETFund’s vital role in sustaining universities, particularly in infrastructure development and staff training.

“For some time now, the major funding for our universities and other tertiary institutions has come from TETFund, especially for critical infrastructure, which has become dilapidated. Even in training and retraining university staff, TETFund had to intervene,” Wabba explained.

He added that scrapping TETFund would return Nigerian universities to “zero level,” as the national budget is already inadequate to meet their needs.

Wabba noted that state governors and trade unions have also opposed the proposed scrapping of TETFund, recognizing its importance in sustaining higher education.

“The budget system is already limited, with many competing demands. Education is critical, and it used to be one of the government’s top priorities. We need to return to the basics and strengthen TETFund because they are doing a good job,” he said.

On the issue of labour disputes, Wabba highlighted the need for strong collective bargaining as a solution.

“In the International Labour Organisation’s (ILO) decent work agenda, prioritizing collective bargaining is essential. Once unions have grievances, whether at the branch or national level, the government should engage them in good faith and implement agreements. Workers do not want to strike; it is a last resort,” he explained.

Wabba acknowledged that while strikes cannot be completely eliminated, they remain a necessary tool in some cases due to the attitudes of certain employers.

On concerns about internal sabotage within unions, Wabba assured that unions have mechanisms to address such challenges. Maintaining unity within unions is essential to protect workers’ interests, he stressed.

Wabba addressed reports of reduced salaries for some workers, advising them to report such cases to their unions.

“If any worker’s salary has been reduced, they should first report to their union. Salary is a legal agreement between an employer and a worker. An employer cannot unilaterally reduce a worker’s salary — that is illegal and unacceptable,” he said.

Wabba assured workers that unions would escalate such issues to labour centers for appropriate action.