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Chevron Nigeria Pensioners Threaten Legal Action Over Neglect, Non-Recognition By Company Management

Chevron Nigeria Pensioners Threaten Legal Action Over Neglect, Non-Recognition By Company Management
October 14, 2023

The pensioners’ group alleged that Chevron Retirees Association of Nigerian (CRAN), a group which Chevron company had been engaging issues about the welfare of its members lacked the legal capacity to represent them.

 

The pensioners of Chevron Nigeria have written a pre-action notice to the Chevron Nigeria Closed Pension Funds Administrator BOD (CNCPFA) over issues surrounding its recognition as the appropriate body with full powers and the requisite capacity to represent the interests of all company ex-workers.

 

In a letter submitted by the union’s counsel, Evans Ufeli to the office of CNCPFA Chairman, the pensioners’ group alleged that Chevron Retirees Association of Nigerian (CRAN), a group which Chevron company had been engaging issues about the welfare of its members lacked the legal capacity to represent them.

 

The letter reads: “It is our succinct brief, for which we verily confirmed that your organisation before now, had been engaging Chevron Retirees Association of Nigerian (CRAN) on all matters related and connected to Chevron Pensioners and/or retiree's affairs, on behalf of our client (prior to the formation of PenCom), as it is on record that although CRAN was first formed as an entity, but same, at the time, lacked the legal capacity to represent pensioners (retirees), owing to the unambiguous fact that it was indeed, registered/incorporated as a limited liability company, consequently stripping itself of the legal capacity to represent retirees, while our client was fully incorporated on the 28th day of October, 2022, vesting same with full powers and the requisite capacity to represent the interests of retirees who wilfully opted for membership of same.

 

“In the light of the aforesaid, and in the eyes of the law, our client is the first truly incorporated Trustee, hitherto, CRAN was not registered and/or constituted as an incorporated Trustee as it only did that after our client had been registered. It is a case of two equities for which the first in time will prevails.

 

“Be that as it may, it is common knowledge within our circle, that CRAN had since deviated from the core essence of its formation, how be it not properly constituted, to represent and protect the interest of its members, thereby negating its sole objective, thus prompting beneficiaries to form an entire different body above referenced, now being our client, so as to have their interests preserved and protected. A huge number of its members have reneged from the association to join our client in a bid to redefine the prospect of the union.

 

“We however, confirm that upon registration of our client, the association served on you a letter of introduction dated the 30th day of January 2023, where it also enclosed its constitution, which your office received and acknowledged same, but never responded afterwards. Since then, your body has failed, neglected and/or wilfully refused to recognize our client (having been fully incorporated first with the requisite legal capacity to represent retirees, and properly constituted under the extant laws of the Federation) more so, being approved as a legitimate body corporate by the laws of the Federal Republic of Nigeria as a separate legal, entity distinct from its members, whilst entrenched with the capacity to sue and be sued. In spite of numerous entreaties same had made to your office in the past for due and deserved recognition, your office/body has yet to deem it fit to reckon with our client in the interest of all concerned.

 

“In view of the foregoing, we hereby draw your candid attention to the fact that your attendant action of non-recognition of our client well contravenes its fundamental human rights as guaranteed by the 1999 constitution in chapter IV, for which Section 40 of the Constitution of the Federal Republic of Nigeria (as amended) concisely provides that:

“every person shall be entitled to assemble freely and associate with other persons, and in particular, he may form or belong to any political party, trade union or any other association for the protection of his interests. “ 

 

In section 16(1)(d), the 1999 Constitution (as amended) provides that: The State shall, within the context of the ideals and objectives for which provisions are made in this Constitution that suitable and adequate shelter, suitable and adequate food, reasonable national minimum living wage, old age care and pensions, and unemployment, sick benefits and welfare of the disabled are provided for all citizens.

 

“In the same vein, the Pension Reform Act 2014 in Section 24 (g) unequivocally provides that:

“The commission shall have the power to- (g). Impose administrative or civil sanctions or fines on erring employers or pension fund Administrators or pension fund Custodians.

 

“The above expressed provisions of law clearly places the issue of pension on a pedestal of great concern and as such, enjoins all employers to see to it that all beneficiaries of the subject matter under reference are duly informed and carried along, irrespective of the nature or forms of the union(s) they so subscribe to as a matter of their constitutional right.

 

“It is however, an irrefutable fact that our client (being a duly registered body corporate) has not been duly carried along in the dealings of its affairs as stakeholders, which is clearly a gross violation of the of the extant laws on employment and pension in Nigeria. This disregard to critical legislation of the Nigerian state is intolerably repulsive to say the least. As a Pension Fund Custodian, your body is duty bound to recognize all stakeholders as it does not lie in your powers to cherry pick whom to regard and disregard.

 

“In the case under reference, your body by its poignant action, has inadvertently fostered an atmosphere of differences, stimulated by its preference to deal with CRAN at the expense of our client, thereby flaring the embers of hostility, leaving a bitter taste in the mouth of concerned and affected Nigerian citizens, who all gave a better part of their youth and adult lives serving your organisation meritoriously.

 

“Assuming but not conceding, that your body has a policy to deal with CRAN, same is equally duty-bound to deal with our client in such capacity, especially having been duly registered and having transmitted to your office, an introduction letter to that effect. Our client is not set up to work against your organisation's interest but to put things right as it concerns all, which would eventually be of benefit to your body, having seen its set out aims and objectives. By the pool of experience garnered over the years by our client and the trenchant exposure to processes, strategies, and methods, undermining our client as an entity by your body is a grievous error from every stretch of the human imagination.

 

“The atmosphere, environment and psychological disequilibrium created so far by your organisation in the case under reference is counter-productive and stemming from the aforestated, it is deducible that these extant constitutional and statutory provisions have all been breached by your organisation therein, owing to your body's wilful neglect of the legal and lawful existence of our client as a lawful entity saddled with aims and objectives therein (for which have been lawfully formulated), as well as switching to engage CRAN, allegedly on behalf of members (retirees), devoid of the due and authorised consent of same, hence our demand letter.

 

“It is wherefore, our specific demand that your organisation acts accordingly forthwith, by paying cognisance to our client, being a duly registered body corporate having its registered office situate at No. 1, Adenowo Mabadeje Street, Ebutte-Igbogbo Road, Ikorodu, Lagos State and calling for a forum with same, in a bid to appraise its grievances of non-recognition of its lawfully constituted management, in the interest and benefit of its members, who happen to be your former/retired staff.

“Take Due Notice that this letter comes as a pre-action notice and should your body fail/neglect to have the outlined issues addressed promptly in three (3) days, inclusive of the date of your receipt of this letter, we shall have no other option but to proceed against your organisation in the court of law for proper legal redress and remedies thereto.”