The document discusses the Industrial Training Fund (ITF) process in Nigeria. It explains that ITF is a fund set aside by companies to encourage workforce training and development. All companies with over 5 employees or 50 million Naira in annual turnover must contribute 1% of their payroll to ITF. Companies can apply for reimbursement if they train at least 15% of their workforce annually and provide documentation of trainings. The reimbursement process involves company registration, contribution payment, training documentation, verification, and issuance of a compliance certificate if requirements are met. Compliant companies receive benefits like ability to bid on government projects and access ITF training facilities.

1. Understanding
THE INDUSTRIAL TRAINING
FUND PROCESS

2. THE INDUSTRIAL TRAINING
FUND (ITF) PROCESS
Mr. Daniel Osolarin
Thursday, 11 January, 2018

3. Meaning and Objectives of ITF
Understand the companies and ITF relationships
Understand the compliance principle and process
Explain the processes to be followed internally on ITF
matters
Understanding the calculations involved
Today’s Overview

4. What’s your
view about
ITF

5. What is ITF
The ITF is a money set aside for human resource development. It is
contributed to encourage capacity building for industries and commerce in
the Nigerian economy through manpower training.
The fund is used to:
a. provide, promote and encourage the acquisition of skills in industry and
commerce with a view to generating a pool of indigenous trained manpower
sufficient to meet the needs of private and public sectors of the economy;
b. provide training for skills in management, technical and entrepreneurial
development in the public and private sectors of the economy;
The Industrial Training Fund (ITF), is a Human Resource Development Agency
of the Federal Government of Nigeria. It is saddled with the responsibility of;
c. setting training standards in all sectors of the economy and monitor
adherence;
d. evaluating and certifying vocational skills acquired by apprentices,
craftsmen and technicians in collaboration with relevant organizations.

6. Following the amendment of the Act in 2011, ALL employers with
over 5 employees or turnover of 50 million and above per annum
are required to make a contribution of 1% of their payroll to the
fund not later than 1 April of the following year.
The scheme provides that not less than 15% of the total work force
in an organization must be trained annually before it is qualified for
full reimbursement grant. Any organization that trains its workers
with evidences such as course fee receipts, certificates of
attendance and receipts of levy paid to the ITF could be entitled to
reimbursement.
Thus, all employers of Labour has been mandated to make this 1%
contribution to the fund and failure to comply will lead to severe
penalties.
How does the ITF and Reimbursement scheme work?

7. Compliance
Principles
and Process

8. The Compliance Principle and Process
Step One
Company Registration
o Means of registration
o Conditions attached
o Effect of registration information
Step Two
Payment of Contribution
o Computation of contribution base
on the company’s payroll
o Means of payment
o Evidence of Payment
Step Three
Reimbursement
o Confirmation of registration
o Confirmation/ Evidence of payment
o Training documents and evidence

9. Time Spent
Events
Filling &
Approval
of Training
Personnel
Reimbursement Process
Filling &
Approval
of Training
Plan (TP)
Filling &
Approval of
Trainings in
line with TP
Collation of
Training
approvals
and
evidences
Computation,
Filling and
follow-up for
reimbursement
Note: This is retrospective in nature as the process must have been observed
before payment of contribution to enable reimbursement

10. Complied?
NO

11. The Compliance Principle and Process
Step Four
Verification
o Check on Payroll and Company books of
account (Audited/non Audited)
o Confirmation with payment
o Penalties and Interests
Step Five
Issuance of Compliance Certificate
o Contains details of the
Company
o Year of compliance
Complied
Reward of Compliance
o Ability to seal government projects
o Access to advisory and management
consulting services of the ITF
o Access to the ITF training facilities and
training centres throughout the nation
o Access to the ITF resource persons to
implement their training programmes

12. *Summary
*Comments
*Questions

13. Resources
 Industrial Training Fund Website
www.itf.gov.ng
 Industrial Training Fund Act 2011 as Amended

14. Thank You!07037129334, 08084958819
Oslaniel@gmail.com