Lagos council has decided to dissolve the municipal company Futurlagos and adsorb its workers into the council’s existing workforce.
The remaining municipal company Lagos-em-Forma will remain primarily to run the council’s car parks.
The two companies were due to be merged in February 2013 but the Court of Auditors needed clarification on some details and the merger never went ahead.
The council now has to review the terms and conditions applicable to Lagos-em-Forma so it can manage the parking fees and car parks in Lagos.
The council say that "all existing jobs at Futurlagos are assured either by the return of workers to the council’s staff, or by transferring workers to Lagos-em-Forma.”
The decision to dissolve the Futurlagos now will be submitted for approval by the Lagos Municipal Assembly.
Futurlagos hit the headlines in 2013/14 when it offered concessions for the new council owned bars along the riverside. 'Bar Wars' ensued due to the council’s decision to limit the opening hours for all of Lagos’ bars, except the three new ones which were allowed to operate for several hours after midnight.
Futurlagos Empresa Local para o Desenvolvimento held the power to grant the leases and the council thought it a good idea to give unfair advantage to the new bars.
People power intervened and the council retreated in tatters faced with a local uprising of surprising proportion.
Portimão also is in the final stages of winding up its discredited commercial arm Portimão Urbis which has been central to allegations of money laundering, corruption and misappropriation of funds in a police inquiry that has been dragging on for nearly two years.
Many Portimão Urbis staff were taken back into the council’s workforce causing upset due to 'salary misalignment.'
The government sensibly decreed that all such municipal companies should be wound up if they consistently fail to produce a trading surplus.
The functions of these companies used to be handled in-house by the council and little long term benefit seems to have been created by their existence.
