Nigerian activist Omoyele Sowore has turned his attention towards banning contract staffing in Nigeria, particularly within the banking sector, branding the practice state-backed slavery.

Sowore, in a post on X, said that his next major battle is to end state-backed slavery, which is disguised as contract staffing of Nigerians.

“One of our next major battles will be to end this state-backed slavery known as contract staffing. Millions of Nigerians work full-time without job security, benefits, or dignity, while corporations and government agencies exploit ‘contract’ arrangements to escape responsibility,” he wrote.

Meanwhile, contract staffing refers to employees hired through third-party agencies or on fixed-term contracts, rather than being hired directly and permanently.

According to data from the National Bureau of Statistics (NBS), contract staff accounted for approximately 42 per cent of the workforce in Nigerian banks during the fourth quarter of 2019.

Youth unemployment remains above 30 per cent, and inflation has sharply reduced real incomes for many workers.

Sowore’s comments come after his recent release from police custody while leading a protest to free the Indigenous People of Biafra (IPOB) leader, Nnamdi Kanu.

A 2023 report by the Chartered Institute of Bankers of Nigeria estimated that contract staff make up approximately 65 per cent of the sector’s workforce, often earning less than half the salaries of permanent employees and lacking access to pensions, health insurance, or housing allowances.

The Labour Act also mandates equal pay for equal work, but weak enforcement has allowed outsourcing firms to exploit loopholes with minimal oversight.

Contract-staffed workers often perform core operations such as customer service and transaction processing but face job insecurity, limited career progression, and minimal benefits under the Labour Act and other employment regulations.

Among the responses to the contract-staffing issue, the Nigeria Labour Congress described the outsourcing practice as a form of modern indenture, arguing that workers on contracts are treated as permanent but lack the rights afforded to direct employees.

Edo State legislator and former Labour Congress chairman, Adams Oshiomhole, said in October that banks were exploiting workers by keeping them on endless contracts to cut costs.

“They dress as though they are bankers, yet when they are thrown out, they have no gratuity, no security. They are not direct employees of the banks. These practices must be stopped,” Oshiomhole said.

Sowore has called for organised protests, petitions, and litigation aimed at forcing legislative changes to end long-term contract employment without rights.

“We will organise and stand for integrity,” he wrote.

He urged contract staff, university graduates, and labour unions to join the campaign.