Cost-cutting reforms could undermine workers’ rights —Okunnu

By Victor Ahiuma-Young WHEN governments announce public sector reforms, the promise is usually attractive: reduced expenditure, improved efficiency, a leaner workforce and better service delivery. But beneath these promises lies a troubling question: what happens to the workers expected to drive these changes, and what becomes of the public institutions that depend on their experience and commitment?

For many public servants, reforms designed to modernise government operations could mean more than administrative restructuring. They could translate into job insecurity, stagnant wages, reduced benefits, heavier workloads and, in some cases, the loss of livelihoods. This tension between government efficiency and workers’ welfare was brought into focus by a lecturer at the Lagos State University, LASU, Ganiu Okunnu, who warned that public sector reforms driven exclusively by cost-cutting measures could weaken institutional capacity, undermine workers’ rights and ultimately compromise service delivery.

Speaking at the 2026 Annual Conference of Labour Writers Association of Nigeria, LAWAN, in Lagos where he presented a paper titled: Public Sector Reform and Workers’ Rights: Balancing Efficiency and Social Justice, Okunnu argued that governments must look beyond financial savings when designing and implementing reform programmes. According to him, sustainable reforms should promote efficiency, transparency and accountability while protecting the dignity, welfare and fundamental rights of public sector employees.

His concern comes against the backdrop of growing efforts by governments to restructure public institutions, reduce administrative costs and embrace digital technologies, outsourcing and private-sector management practices. While these approaches are often presented as necessary measures for improving public administration, their consequences for workers are not always adequately considered.

The human cost of efficiency Public sector reforms are generally introduced to address challenges such as fiscal deficits, rising public debt, administrative waste and operational inefficiencies. However, Okunnu cautioned that when expenditure reduction becomes the overriding objective, workers could bear a disproportionate share of the burden. He identified mass retrenchment, voluntary retirement schemes, short-term employment contracts and wage restrictions amid rising inflation as some of the major challenges confronting public sector employees.

The consequences, he suggested, extend beyond individual workers and their families. A workforce characterised by uncertainty, poor remuneration and declining job security may struggle to maintain the motivation and commitment required to deliver quality public services. For institutions, the departure of experienced personnel could result in the loss of valuable institutional knowledge, weaken administrative capacity and make it increasingly difficult to retain skilled professionals Okunnu maintained that governments must recognise that workers are not merely expenditure items on public budgets but essential contributors to effective governance.

Can governments achieve efficiency without sacrificing workers’ rights? For the LASU lecturer, the answer lies in abandoning the assumption that efficiency and workers’ welfare are mutually exclusive. He argued that public sector reforms should be guided by the International Labour Organisation’s Decent Work principles, which emphasise job security, fair remuneration, safe working conditions and social dialogue.

These principles, he noted, should provide a framework for ensuring that administrative and economic restructuring does not erode fundamental labour protections. He also advocated greater involvement of trade unions and other labour representatives in the formulation and implementation of reform policies. Rather than impose restructuring programmes through unilateral administrative directives, governments, he said, should consult workers and their representatives before introducing changes that could affect employment conditions.

Such engagement, he maintained, would promote understanding, reduce industrial tensions and ensure that the concerns of affected employees are considered. Retraining instead of retrenchment Another important issue raised by Okunnu is the need to prepare public servants for the changing demands of modern governance. With governments increasingly adopting digital technologies and automated administrative processes, he argued that investment in retraining and skills development should take precedence over immediate workforce reductions.

Public servants, he said, should be equipped with the necessary competencies to adapt to digital governance and evolving administrative responsibilities. He also recommended linking performance assessments to career development, providing adequate workplace resources and ensuring occupational safety. For employees affected by voluntary retirement and other exit programm