Fresh Dangote—PENGASSAN dispute looms as refinery Stops Salaries of Sacked Engineers
- The Dangote Petroleum Refinery has reportedly stopped paying salaries to engineers who rejected redeployment offers
- PENGASSAN said it is currently engaging the company to resolve the dispute and prevent another industrial action
- The workers say the postings raised security and procedural concerns, while the company insists it provided valid alternatives
Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, tech and macroeconomic trends in Nigeria.
Another crisis may be looming between the Dangote Petroleum Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), after the former reportedly stopped salary payments to some engineers.
PUNCH reported that the engineers affected are those who were fired by the refinery during its industrial dispute with PENGASSAN earlier this year. The salaries were halted after many of the affected engineers declined redeployment to various Dangote projects in states such as Zamfara, Borno, Benue and Sokoto.
PENGASSAN said it is currently in talks with the Dangote Group to resolve the matter peacefully and avoid another nationwide shutdown.
Source: Getty Images
Some of the workers, who spoke anonymously to Punch newspaper, said the redeployment postings included coal mines, concrete road construction sites and rice mills spread across several states.
While a few workers reportedly accepted the placements, most rejected the offer on the advice of PENGASSAN, which assured them that discussions were ongoing to resolve the dispute.
It was also learnt that the Dangote Group first reduced the workers’ salaries in October before stopping the November payment entirely.
A senior Dangote Group official, who requested anonymity, confirmed that the refinery would no longer pay workers who declined the alternative roles offered.
According to the official, the company had provided opportunities in other projects and could not continue funding salaries for workers who refused to resume at the new locations.
The official said the disengaged workers were given trainee-level placements in projects such as rice mills, road construction and coal mines, noting that those who accepted had already resumed.
Genesis of the dispute
PENGASSAN had, in September, shut down several oil and gas facilities over claims that about 800 workers were dismissed for joining the union.
The Dangote refinery, however, denied the figure and said only a limited number of staff were disengaged as part of a reorganisation targeted at addressing acts of sabotage.
The industrial action led to nationwide production losses and a decline in power supply before the Federal Government intervened.
Following the intervention, the affected engineers were invited in October to collect new letters titled “Offer of Trainee Engagement” under Dangote Projects Limited. Some engineers expressed reservations about the postings, citing unclear reporting addresses and security concerns in certain host states.
They also argued that the directive to resume within 14 days, without a verifiable office location, could amount to unknowingly accepting conditions that would ultimately lead to the termination of their employment.
According to the workers, PENGASSAN advised them not to accept the new letters while negotiation continued.
Speaking at a recent briefing, PENGASSAN President Festus Osifo said discussions with Dangote were still ongoing. He noted that although several issues remained unresolved, the union preferred a negotiated settlement and would continue engaging all parties involved.
Source: Getty Images
A Dangote Group management officer told Punch that while the union had the right to make demands, the company equally had the right to make decisions in line with its business interests.
Some of the affected engineers alleged that the salary stoppage breached earlier assurances that payments would continue pending the resolution of the dispute.
They said their October salaries were reduced and their November salaries were withheld completely, which they described as unfair. As talks continue, the workers say they now risk losing their income if the dispute drags on, while the company insists on redeployment to other projects.
Meanwhile, the resolution of the matter will depend on the outcome of the ongoing engagements between PENGASSAN and the Dangote Group.
VP Shettima condemns PENGASSAN’s strike
Legit.ng reported earlier that Vice President Kashim Shettima condemned the industrial action of PENGASSAN, arguing that Nigeria is bigger than any union.
The VP made this argument following the declaration of the recent industrial strike by workers under PEGASSAN in September.
He called for “caution, retrospection, and a deeper sense of patriotism from both labour and the organised private sector”, urging them to improve relationships in the interest of Nigeria’s economy.
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Source: Legit.ng
