The Nigeria Union of Local Government Employees (NULGE) in Oyo State under the leadership of Comrade Ayobami Adeogun has rejected the newly announced 7.5% health insurance deduction from local government workers by the Oyo State Health Insurance Agency (OYSHIA), describing it as insensitive and ill-timed amid prevailing economic hardship.
The union’s position followed remarks by the Executive Secretary of OYSHIA, Dr. Sola Akande, who announced that health insurance deductions for civil and public servants had been increased to 7.5% of basic salary with effect from January, citing rising healthcare costs and others.
While acknowledging and commending Governor Seyi Makinde for his consistent worker-friendly initiatives, including improved welfare policies and engagement with labour unions, NULGE stressed that the new deduction does not reflect the governor’s pro-worker stance and inclusive governance approach.
NULGE faulted the decision, noting that it was taken without adequate consultation with the union’s State Administrative and State Executive Councils. The union warned that the increase would significantly erode workers’ take-home pay at a time when inflation, food prices, transportation and housing costs continue to rise.
The union also criticized OYSHIA for failing to address persistent concerns such as *poor service delivery, limited drug availability and delays in accessing quality care,* despite workers previously contributing fixed premiums of ₦666.70 and ₦1,250.
Comrade Adeogun emphasized that healthcare sustainability should not be achieved at the expense of workers’ survival. While reaffirming its support for health insurance schemes, the union maintained that policies which worsen workers’ economic conditions are unacceptable.
The union concluded by maintaining the existing premium of the policy in line with Governor Makinde’s people-centred and consultative governance style, insisting that healthcare reforms must be fair, inclusive and dialogue-driven rather than imposed on an already overstretched workforce.
