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Economic Crisis Brews: Dangote Refinery vs. PENGASSAN Labor Dispute Escalates

Published 19 hours ago3 minute read
Pelumi Ilesanmi
Pelumi Ilesanmi
Economic Crisis Brews: Dangote Refinery vs. PENGASSAN Labor Dispute Escalates

A crucial high-level meeting is currently underway at the office of the National Security Adviser (NSA) to address the escalating labour dispute at the Dangote Petroleum Refinery. Key figures in attendance include Aliko Dangote, founder of the refinery; Wale Edun, Minister of Finance and Coordinating Minister of the Economy; Abubakar Bagudu, Minister of Budget and Economic Planning; and Mohammed Dingyadi, Minister of Labour and Employment, alongside representatives from the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and the Department of State Services (DSS). This meeting follows earlier unsuccessful reconciliation efforts led by the Ministry of Labour, which also saw the participation of Nkiruka Onyejeocha, Minister of State for Labour and Employment.

The industrial action was triggered by the mass termination of employment for over 800 Nigerian employees by Dangote refinery. PENGASSAN instructed its members to embark on a nationwide strike on September 26, while the Trade Union Congress (TUC) on September 29, publicly called for the refinery's management to reverse these dismissals.

In a strongly worded statement issued on Monday, Dangote Refinery urged Nigerians to stand against PENGASSAN and the TUC, accusing them of initiating industrial action without proper verification of claims. The refinery described the TUC as “zombie-like” for declaring full solidarity with PENGASSAN and threatening a nationwide strike without verifying the underlying claims. The statement further criticized the TUC for passing a "guilty verdict" without hearing the refinery's side, likening such an act to foolishness.

Dangote Refinery explicitly alleged that both PENGASSAN and TUC are primarily motivated by the desire to secure "check-off dues" and other financial interests, rather than genuinely protecting workers' welfare. The company cited remarks from Festus Osifo, PENGASSAN president, who reportedly admitted on national television that the union wrote to Dangote refinery requesting dues shortly after workers allegedly unionised. The refinery dismissed the two unions as "twins from the same womb," asserting that their true agenda is the "preservation of their financial interests" and the "monthly check-off dues and other subscriptions and scams that feed their lifestyles."

The refinery contended that these "oligarchs" are prepared to plunge Nigeria into "utter darkness and anarchy" for their financial gain. It further accused PENGASSAN, TUC, and their allies, including the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), of failing to account for workers’ contributions while funding "lavish and opulent lifestyles." The statement urged Nigerians to "stand up against these enemies of progress."

Furthermore, Dangote Refinery appealed to the federal government to resist what it characterized as attempts by labour leaders to revert the country to "the dark ages" of energy insecurity and industrial sabotage. Emphasizing its status as a "national asset that requires our collective protection and prayers," the company challenged the unions to publish their financial records, asserting that the workers they claim to represent have a right to know how their monthly check-off dues are managed. The ongoing dispute highlights a deep rift between the refinery and major labour organizations over employment practices and union motivations.

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