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FAAN Considers Cost Reduction Strategy By Moving Head Office To Lagos

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FAAN Considers Cost Reduction Strategy By Moving Head Office To Lagos....KINDLY READ THE FULL STORY HERE▶

The directive from the Minister of Aviation and Aerospace Development, Festus Keyamo, instructing the Federal Airports Authority of Nigeria (FAAN) to relocate its headquarters from Abuja to Lagos has been justified by the authority. In an internal memo dated January 15, 2024, FAAN’s Managing Director, Olubunmi Kuku, tasked the agency’s Director of Human Resources and Administration with assessing the implications of this relocation order……CONTINUE READING

 

 

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The memo, titled “Relocation of FAAN Headquarters From Abuja to Lagos,” conveyed the Minister’s directive and requested an analysis of the effects of moving FAAN’s operations to Lagos. Kuku emphasized the need for the agency to understand and communicate the consequences of the relocation to the management.

As of December 2015, FAAN had a total staff strength of 5,308, categorized into technical (21.72%), non-technical (78.26%), and executive staff (0.02%).

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In a separate statement issued by FAAN’s Director of Public Affairs and Consumer Protection, Obiageli Orah, it was reiterated that relocating the headquarters to Lagos was deemed to be in the best interest of the authority. Orah explained that the decision was prompted by the impracticality of maintaining operations in Abuja due to the absence of adequate office space. Staff who had moved to Abuja had since returned to Lagos, and the Minister aimed to prevent the unnecessary expenditure of public resources on duty tour allowances.

The statement clarified that the alternative of abandoning the old FAAN building in Lagos and renting office space in Abuja was rejected in favor of a more cost-effective solution. The Minister plans to engage concessionaires to construct suitable offices for FAAN in both Lagos and Abuja. Until this plan materializes, FAAN will continue managing its existing building in Lagos, which is capable of accommodating all directors and senior officials.

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Orah emphasized that operational offices in Abuja remain fully functional, with no reduction in operations. The decision to relocate the headquarters is characterized as a technical move that does not impact the ongoing operational structure in both cities.

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