NNPC Begins Workforce Reduction As Staff Opt for Voluntary Exit
- NNPC has kicked off its plans to reduce workforce by over 70% of eligible staff
- The company says the exit plan is voluntary and aimed at improving efficiency and workforce renewal
- The oil company says the scheme will create room for younger talent while supporting its transformation agenda
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Nigerian National Petroleum Company Limited (NNPC Ltd) has commenced a workforce reduction programme as part of its ongoing restructuring efforts, with more than 70% of eligible employees indicating interest in the company’s voluntary retirement schemes.
The national oil company is implementing the Accelerated Exit Scheme (AES) and Voluntary Exit Scheme (VES) as part of a broader plan to optimise its workforce, improve efficiency and create opportunities for new talent.
Source: Getty Images
NNPC staff exist
Punch reports that officials familiar with the programme said the initiative was not a compulsory staff reduction exercise but a voluntary arrangement designed to support employees nearing retirement while allowing the company to renew its workforce.
The AES targets employees due for retirement in 2026, while the VES covers workers scheduled for statutory retirement in 2027 and SS1-grade employees with between two and five years remaining before retirement between 2028 and 2030.
A senior NNPC official said the high level of interest among eligible employees showed that many workers were willing to take advantage of the exit packages offered under the programme.
The official said:
“More than 70% of persons who are eligible have indicated interest in taking early retirement."
The source explained that the scheme would reduce the number of employees on the company’s payroll while providing financial incentives for workers who choose to exit early.
The official said:
“It is beneficial to both the individual and the organisation. Those who decide to leave early will receive enhanced packages, while the company creates space for younger professionals to come in."
The development follows a workforce transformation drive by NNPC management aimed at repositioning the company after it transitions into a commercial entity under the Petroleum Industry Act.
Source: Getty Images
NNPC new staff
Speaking on the scheme, Bashir Ojulari, NNPC Group Chief Executive Officer, had informed employees that the company was undergoing a major organisational recalibration to align its structure with future business objectives.
Ojulari said:
“As we build momentum on this journey, it is essential that our workforce continues to evolve in line with the future we are building."
The company said the retirement programme was part of efforts to manage workforce transition responsibly and ensure long-term sustainability.
NNPC officials also dismissed concerns that specific employees were being targeted, stressing that participation remained optional.
The company said the exit programme would also support recruitment and skills renewal, noting that it hired more than 1,000 workers last year.
NNPC raises salaries of over 6,000 staff
Earlier, Legit.ng reported that the Nigerian National Petroleum Company Limited (NNPCL) has stirred controversy after raising the salaries and allowances of more than 6,280 employees.
Investigations revealed some adjustments reached up to 50%, prompting criticism over the timing and scale of the increases.
While critics argue the decision places additional strain on national finances, the state-owned oil giant insists the move is necessary to remain competitive in the global energy industry.
Source: Legit.ng
