The Federation of Construction Industry (FOCI) has warned that the Federal Government’s decision to terminate multiple road and infrastructure contracts could deepen unemployment and worsen insecurity across the country.
FOCI President, High Chief Vincent Barrah, speaking after the association’s 69th Annual General Meeting in Abuja on Wednesday, said several member companies had been forced to scale down operations despite having the manpower, expertise, and equipment to deliver projects.
“Most of our members, as we speak, are not working at full capacity. The ripple effect is massive unemployment, which is not good for the economy and could aggravate what we are experiencing now — the security crisis,” Barrah said.
He accused the Ministry of Works of abruptly ending contracts after earlier describing them as terminated by “mutual consent,” only to later cite “poor performance” as justification. According to him, the explanation was unfair to companies that had a record of building infrastructure that had lasted for decades.
“Our members are reputable construction firms in Nigeria. They have delivered projects, including roads, that have lasted 20, 30, and even 40 years, which are still in use today. To now claim poor performance as the reason for contract termination is unjust and misleading,” he said.
Barrah contrasted the Ministry’s actions with those of the Minister of the Federal Capital Territory, Nyesom Wike, who he said had recently commissioned several projects executed by FOCI members. “While the Ministry of Works is terminating projects, the FCT Minister has been commissioning projects executed by our members. If not for these engagements, the industry would be in a far worse state,” he noted.
On the government’s directive to switch from asphalt to concrete roads, Barrah cautioned that an abrupt transition was impractical. “You cannot just say, ‘stop asphalt today and start concrete tomorrow,’ because the equipment for asphalt roads is completely different from what is used for concrete. Contractors need time to acquire the necessary machinery and retrain their workforce. To call that poor performance is unfair,” he said.
He added that both the Nigerian Society of Engineers and the Council for the Regulation of Engineering in Nigeria had also questioned the sudden policy, arguing that a phased approach was necessary.
Despite the setbacks, Barrah said FOCI members remained committed to supporting Nigeria’s infrastructure needs. “We attest to our members anytime, any day. FOCI members, whether foreign or indigenous, are reputable construction companies known for delivering quality jobs. We do not compromise on standards,” he said.
Also speaking, Oluwaseun Faleye, Managing Director of the Nigerian Social Insurance Trust Fund, said the agency would continue to strengthen its partnership with the construction industry to protect workers. “If any worker is injured or dies in the course of work, we step in to provide support to the worker, their family, and even the business. We see ourselves as partners in progress with the construction industry,” he said.
