The blistering pace of job losses in Nigeria remains unrelenting as firms battle a strong storm of challenges from economy in decline. The latest number is delivered by Intels Nigeria Limited, an international integrated logistics solution company, servicing players in Nigeria’s oil and gas industry, which dumped about 500 of its staff in the Onne oil/gas free zone.
The sack was initiated by Intels parent company, Orlean Invest West Africa Limited, and it is expected to affect both Nigerians and expatriate staff.
Intels’ action highlights ebbing business confidence and a difficult year in which businesses across all sectors in the country were pinned down by a cocktail of financial policy and sector related issues.
It is understood that Intels’ flat business volumes, which has been on accelerated decline forced the latest move. The company, at the height of its challenges, generated a report in which it outlined key risk to the business, including diversion of oil and gas related cargo revenue to non-designate terminals. It also pointed to the huge disparity in Nigeria Ports Authority (NPA) cargo charges, which runs as high US$85.58 per tonne, 90 percent higher than what obtains in other terminals.
The company was also grappling with how to meet guaranteed minimum tonnage (GMT) target as provided in the port concession agreement.
The firm had engaged 6,000 direct and 10,000 indirect employees during its buoyant years and invested over $3.6 billion in the company since 1996.
