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Workers Protest Shuts BUA Flour Mills Over Sale Of Company - Business - Nairaland

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Workers Protest Shuts BUA Flour Mills Over Sale Of Company by editor123: 4:34pm On Dec 05, 2015
…Men of the Nigerian Navy now standing guard in company premises

…Prohibits workers interaction and unionism

By Kikiowo Ileowo

Men of the Nigerian Navy were on Wednesday unleashed on protesting workers of BUA Flour Mills Limited, a subsidiary of BUA Group – a manufacturing, trading and commodities group of companies – owned by billionaire business mogul, Alhaji Abdulsamad Rabiu.

The Paradigm correspondent learnt that BUA Group over six month ago, decided to sell BUA Flour and BUA Pasta to Olam Group, another trading and commodities company in Nigeria. A very reliable source in the company, accused the management of selling the company and abandoning the staff to fate.

BUA Flour Mills Limited, a subsidiary of BUA Group was incorporated in March 2005 as a Private Limited Liability Company. The flour arm started around August 2005 in Lagos, while that of Kano started three years later in 2008. However, the Kano plant has stopped production; though few workers are still maintained for upkeep of the company.

The reason for the sale of the company is still unknown, but representative of BUA Group have denied any such claim.

Speaking to The Paradigm’s correspondent, Group Head, Corporate Communications, BUA Group, Mr. O’tega Ogra said “as at 27th November , BUA Flour and Pasta are still fully owned subsidiaries of the BUA Group; the management has not changed, neither has it been sold.”

The recent crisis stem from disagreement between the staff, who wants their severance package and gratuity paid before the handover, but The Paradigm learnt that BUA Group intention, is to transfer all liabilities to the new owners, Olam Group, a scenario which the staff are uncomfortable with.

The Paradigm notes that staffs are usually laid off when such hostile takeover take place by a new management.

Using threats akin to the repression experienced during of the military era, management of BUA Group ordered the staff back to work last Wednesday or they will apply the ‘no work, no rule’, should the staff fail to return to their duty post.

“Our chairman, Alhaji Abdulsamad is being unfair to us, he wants to use and dump us. I have served for over 6 years in this company and he just wants to abandon us, it is unfair,” one of the staff told The Paradigm.



“We have been asked to sign a letter of undertaken, but none of us accepted. The terms were just unreasonable and unnecessarily harsh,” another staff told The Paradigm.

A copy of the letter of undertaken sighted by The Paradigm reads inter alia that the staff will, “irrevocably and unconditionally undertake not to be seen loitering or discussing in groups of two or more persons.” A clear undertaken against the letter and spirit of the Nigerian law under which the company operates.

The letter of undertaken further reads, “I understand the company may terminate my employment if I am found guilty of inciting, fueling or participating in any effort to disrupt production operations or any other business activities or transactions of the company.”



Section 40 of the Nigerian Constitution guarantees Right to peaceful assembly and association. It states, “Every person shall be entitled to assembly freely and associate with other persons, and in particular he may form or belong to any political party, trade union or any association for the protection of his interests.”

The International Labour Organization (ILO) likewise recognizes freedom of association as a fundamental principle in several major documents, the most important ones being the Freedom of Association and Protection of the Right to Organise Convention 1948 (No. 87).

Nigeria is a member of the Governing Body of the ILO and has ratified ILO Conventions 87 and 98.

When asked on the restriction of workers right to freedom of association within the company, Mr. Otega Ogra stated that it is an internal communications and who rather prefer to know the source of the document with The Paradigm.

“The undertaken you said you have is an internal document, how did you get it? Send it to me by email, so I can give you my reaction to it,” Mr. Ogra told this correspondent.

The Paradigm learnt that although, Chairman of BUA Group, Alhaji Abdulsamad Rabiu will make millions of dollars from this deal, many wonder why he his refusing to consider the payment severance package and gratuity to members of his staff, who have laboured to grow the company to its present stage.

Though our source had informed us that the new management from Olam Group will likely take over the company on Monday or Tuesday, The Paradigm cannot verify this claim as Olam group refused to reply The Paradigm’s query on the progress and completion of the acquisition of BUA Flour Mills Limited.

The Paradigm had over the weekend sent an email to Olam Group for details of the transaction, control and management takeover of BUA Flour Mills Limited, but as at the time of publication, the company is yet to reply our messages.

A combined team of armed Naval and Police personnel continue to stand guard at the gate of the company, though the protests have so far been peaceful.

The Paradigm will bring you updates on how the company resolves the current impasse.

http://www.theparadigmng.com/2015/11/29/workers-protest-shuts-bua-flour-mills-over-alleged-sale-of-company/

Re: Workers Protest Shuts BUA Flour Mills Over Sale Of Company by Nobody: 4:42pm On Dec 05, 2015
m jx here for the FTC award.
my senior rep will receive it on ma behalf, thanks.

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