FG Explains Why Its Workers Can’t Access Housing Loans

THE Federal Government said many federal workers are unable to access its housing loan schemes because they have mortgaged their salaries through multiple loans from commercial lending agencies.
Executive Secretary, Federal Government Staff Housing Loans Board, Hajiya Salamatu Ahmed, who disclosed this at the Permanent Secretaries’ Quarterly Forum with union leaders, organised by the Service Welfare Office, Office of the Head of the Civil Service of the Federation (HCSF), explained that the heavy loan deductions from the workers’ salaries make them ineligible for the housing loans.
She stated: “Let me tell you why workers may have difficulty in accessing these loans. Majority of them have already mortgaged their salary by taking series of loans from these agencies that operate ‘sharp loans.’
“So, at the end of the day, there is no way you can propel them to pay the housing loan. This is very sad.’’
Ahmed said the situation was worrisome because the Board had increased its loan ceiling to N20million to enable senior workers benefit, and also created a special scheme for officers on Grade Levels 8 to 14.
She said the Board was partnering with mortgage institutions and private developers to make housing more affordable for civil servants.
Declaring the forum open, Permanent Secretary, Service Welfare Office in office of the HCSF, Mrs. Patience Oyekunle, said the engagement was to strengthen dialogue between government and unions on issues of staff welfare, industrial harmony and productivity.
Oyekunle said government has introduced several initiatives under the Federal Civil Service Strategy and Implementation Plan (FCSSIP 2021 to 2025), including group life assurance for federal workers and the President’s N750billion Pension Bond Bill before the National Assembly.
She listed other welfare initiatives to include resuscitation of the Nigerian Social Insurance Trust Fund (NSITF); provision of free medical services at the office of the HCSF complex; review of the recognition and reward policy and an open-door engagement policy with labour unions.
Deputy General Manager, NSITF, Usman Tumsah, said the Fund was simplifying its claims process and digitising applications to ensure timely compensation for workplace accidents and deaths.
He added: “It is just unfortunate that most of the organisations have not duly keyed into the scheme and submitted the necessary documentations on behalf of their employees, so that they are captured under the scheme.
“But we are, at the moment, doing high-level sensitisation of all MDAs to the benefits of keying into the scheme and the benefits derivable for the employees to the scheme.”
Tumsah said federal civil servants were automatically covered under the employee compensation scheme, while efforts were ongoing to sensitise MDAs to compliance.