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…No job losses, forced transfers, direct staff payments by concessionaire
….FAAN to keep earning revenue under concession deal -Ogbe, ATSSSAN President
By Chinelo Obogo
Full details have emerged on the agreement reached between the Federal Ministry of Aviation and Aerospace Development, the Federal Airports Authority of Nigeria (FAAN), aviation unions and the concessionaire overseeing the concession of the Akanu Ibiam International Airport in Enugu.
The agreement, obtained exclusively by Daily Sun, was signed on February 24, 2026. It brought together six parties which include; the Ministry, FAAN, the Aero Alliance Consortium (the concessionaire), the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) the National Union of Air Transport Employees (NUATE) and the Association of Nigerian Aviation Professionals (ANAP).
The meeting was convened at the instance of the Minister of Aviation and Aerospace Development, Festus Keyamo, with the aim of addressing all outstanding labour issues surrounding the Enugu airport concession deal. By the end of deliberations, all parties present had reached a consensus and signed an agreement which was binding.
Signing on behalf of their respective organisations were the Ministry’s Permanent Secretary, Yakubu Kofamela, Frances Akinjole for ATSSSAN; Ocheme Aba for ANAP; Sikiru Waheed for NUATE; Oyiwodu Okibe-Oga and Kester Enwereonu for the Aero Alliance Consortium; and Bridget Golo for FAAN.
Documents seen by Daily Sun made it very clear that all FAAN staff in employment as of the effective date of the Enugu Airport Concession Agreement shall remain employees of FAAN and that nothing in the concession agreement shall constitute an automatic transfer of employment to the concessionaire.
The agreement directly addresses concerns among FAAN employees that the concession of airport operations to a private consortium could threaten their jobs and employment rights. It clearly states that the Federal Airports Authority of Nigeria (FAAN) will remain the principal employer of its workforce, even after the concession takes effect.
Under the terms, any restructuring, redeployment, rationalisation or adjustment of staff must strictly comply with existing labour laws and FAAN’s Conditions of Service. Such decisions must also follow proper consultation with the recognised aviation unions.
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Importantly, the pact also bars the declaration of redundancy solely as a direct result of the airport concession. However, the parties clarified that FAAN retains the legal authority to discipline, redeploy or reorganise its workforce, provided such actions are carried out lawfully and within established regulations.
On day-to-day operations, the agreement makes it clear that FAAN may enter into a written transitional services agreement or service level agreement with the concessionaire for operational continuity, but under any such arrangement, FAAN retains exclusive responsibility for all employment matters including discipline, promotion, appraisal and termination.
The concessionaire is permitted to issue operational instructions, but these must be strictly limited to service delivery. Any issue relating to staff discipline must be reverted to FAAN, and FAAN retains the unconditional right to redeploy or substitute staff at any time. The agreement also mandates that any transitional services arrangement clearly specify its scope, duration, cost reimbursement structure and liability allocation, leaving no room for ambiguity.
On workers’ salary, the agreement states that FAAN shall remain solely responsible for the payment of salaries, pensions, statutory contributions and all employment benefits of its staff. The concessionaire is required to reimburse FAAN for staff costs but is prohibited from making any direct salary payments to FAAN employees.
The agreement also reinforces the rights of workers to be part of any union of their choice. FAAN shall retain primary responsibility for collective bargaining and labour relations, while the concessionaire is obligated to allow the unionisation of its workers.
The agreement shields the Ministry of Aviation from any direct employment, pension or financial liability arising from the concession, noting that all employment obligations rest solely with FAAN as the employer. The Ministry’s statutory powers remain intact to the extent they are exercised in accordance with the law.
It was also agreed that if any disagreements arise from the implementation of the agreement, the parties must first seek resolution through consultation. Where this fails, disputes shall be settled in accordance with applicable labour laws and FAAN’s Conditions of Service. The agreement takes immediate effect from the date of its execution and shall remain in force for the entire duration of the concession period. Any future amendments must be made in writing and signed by all parties to be valid. The agreement is governed by the laws of the Federal Republic of Nigeria.
Daily Sun reached out to the National President of ATSSSAN, John Ogbe, who confirmed the report and explained how the labour leadership was able to secure the deal.
He said: “It is true that we had a meeting with the Minister and those involved in the concession, and the issues we discussed were critical to the well-being of our members. As it stands, there is no fear for workers; there is no fear of redundancy whatsoever.”
On whether the concession would affect revenue generated by FAAN, Ogbe said: “With the concession deal, there will still be revenues for FAAN because there is a revenue-sharing formula in place. I won’t be able to give you full details now, but for example, on landing and parking, there is a revenue-sharing formula; on PSC, there is a sharing formula; and on shops and every other business that operates there, there is a sharing formula. So FAAN is not totally losing out, they will continue to earn from the operations of the airport alongside whatever else is being done.”
