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Dangote Refinery, Workers’ Union Settle Sack Dispute After FG Intervention

The Federal Government has stepped in to settle a heated dispute between Dangote Petroleum Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) after reports of mass staff dismissals triggered a strike.

Labour Minister Mohammed Maigari Dingyadi announced on Wednesday that following two days of closed-door talks, both sides reached an agreement. Under the deal, dismissed employees will be reassigned to other Dangote Group companies without loss of pay, while no worker will face punishment for participating in the standoff. PENGASSAN has also pledged to begin winding down its industrial action.

Workers Voice Frustrations

Though the truce provided some relief, refinery staff told the Foundation for Investigative Journalism (FIJ) that the conflict stemmed from long-standing grievances. Employees cited stagnant pay, absence of promotions, poor medical coverage, and unsafe working conditions as reasons they joined the union.

One process engineer alleged that local workers were sidelined while less-experienced expatriates were promoted into management roles. He added that claims of healthcare provisions were misleading, with staff often forced to purchase their own medication.

He further revealed that despite long 12-hour shifts, overtime was underpaid, with workers losing one hour of pay per day on the assumption they had taken breaks. According to him, take-home pay for some engineers drops below ₦200,000 after deductions and heavy taxation.

Push for International Standards

Many employees reportedly joined PENGASSAN after being told their pay and conditions fell short of global oil and gas industry benchmarks. Union officials encouraged them to demand comparable treatment. Within hours of the union’s first visit, over 1,000 staff signed up.

Tensions heightened after reports that salaries for some Indian expatriates had been doubled, while Nigerians only received modest raises. Soon after, several workers were abruptly dismissed—sparking the strike that drew government intervention.

Next Steps

While the immediate crisis appears to have been contained, refinery employees say the deeper issues of poor welfare, safety risks, and inequality in treatment remain unresolved. For now, redeployment within the Dangote Group may return staff to work, but union leaders have warned that only sustained reforms can prevent future unrest.