• Saturday, February 24, 2024
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Petroleum marketing companies spend 2% of turnover on staff


The BusinessDay Research and Intelligent Unit (BRIU) finding shows that just 2 percent of the sev¬en listed petroleum products mar¬keting companies turnover were paid to their staff as salaries and wages, pension and social benefit and medical expenses.

The seven companies which in¬clude, Oando, Mobil oil Nigeria Plc, Total Nigeria Plc, MRS Oil Nigeria Plc, Conoil Plc, Forte Oil Plc and Eterna Plc made turnover of N1.3 trillion as indicated in their 2012 an¬nual report and spent a total 21.54 billion as staff remunerations and other benefits.

The breakdown show that Mobil Oil Nigeria Plc with staff strength of about 100 employees had the highest staff cost to turnover ratio of 4 per¬cent. The company had a turnover of N81 billion which is an increase of 30 percent when compared with N62 billion realized in 2011. Its staff cost also increased by 8 percent to N2.8 bil¬lion in 2012 from N2.6 billion in 2011 despite drop in the number of staff.Total Nigeria Plc which occupied the second place had staff cost to turn¬over ratio of 2.4 percent. The company grew its turnover by 25 percent from N174 billion in 2011 to N218 billion in 2012. The proportion for staff wel¬fare also increased from N4.7 billion in 2011 to N5.2 billion in 2012 with increase in the number of staff from 472 in 2011 to 474 in 2012. Forte oil Plc came third with staff cost to turnover ratio of 1.53 percent had a drop in turnover from N117 billion in 2011 to N91 billion in 2012. Conoil Plc claim fourth place with staff cost to turnover ratio of 1.48. Its turnover dropped by 5 percent to N150 billion in 2012 from N158 billion in 2011. In the same vain, the number staff also dropped from 285 in 2011 to 266 in 2012.539w

MRS Oil Nigeria Plc occupied the fifth position with staff cost to turnover ratio of 1.02 percent. It grew turnover by 11 percent from N71.5 billion in 2011 to N79.7 billion in 2012 but the number staff dropped from 203 in 2011 to 109 in 2012. Eterna Plc has the least staff to cost turnover ratio of 0.46 percent.