The Dangote Petroleum Refinery has halted monthly salaries for the engineers who were dismissed in September during its conflict with the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
In response, PENGASSAN has stated that it is working with the Dangote Group to resolve the issue amicably, seeking to avoid a new industrial action.
According to findings from, the cessation of salaries occurred after many engineers refused redeployment to various states, including Zamfara, Borno, Benue, and Sokoto.
Several anonymous workers reported that some were reassigned to a coal mine in Benue, construction sites in Borno and Ebonyi, and rice production facilities across Kebbi, Niger, Sokoto, and Zamfara. While a small number accepted the relocations, many rejected them, relying on PENGASSAN’s assurances of a resolution through dialogue.
In October, the Dangote Group signaled its position by reducing salaries for the affected workers before completely withholding their November pay.
A senior official from the Dangote Group confirmed that the company would stop payments to those who did not accept the redeployment offers. This official, who wished to remain unnamed due to lack of authorization, questioned why the company should continue paying individuals who declined alternative placements.
“Those whose contracts were terminated were offered opportunities to work on our other projects, including rice mills, road construction, and coal mines. Those who accepted have begun their new roles. If an organization terminates an employee but provides alternative employment that the employee refuses, should it continue to pay them?” the official stated.
Recall that PENGASSAN previously shut down oil and gas facilities in September, claiming that 800 refinery workers were terminated for joining the union. However, the Dangote refinery explained it only let go of a few workers who were alleged to be undermining operations and characterized the layoffs as restructuring.
This shutdown led to significant losses in oil and gas production nationwide and reduced power generation until government intervention mandated the redeployment of the affected workers.
In October, the dismissed engineers were invited to collect their letters at the Dangote Group’s Ikeja office. One letter reviewed by the correspondent was titled “Offer of Trainee Engagement,” issued by Dangote Projects Limited.
The document noted that the engineers were to report to their new roles within 14 days of receiving the letter, with training set to last two years.
Many engineers expressed concern regarding the relocations, primarily due to safety issues in the designated areas. They pointed out the lack of office locations listed in their letters and highlighted potential dangers in those regions, stating that accepting the positions could effectively mean relinquishing their employment due to an absence of proper reporting structures. PENGASSAN has advised them not to accept the offers, encouraging them to allow ongoing discussions to proceed.
During a recent briefing, PENGASSAN President Festus Osifo stated that negotiations with Dangote were ongoing, though the issues remained unresolved. He expressed hope that the matter could be settled through dialogue, emphasizing the preference for negotiation over confrontation.
A senior official indicated that while PENGASSAN has the right to submit requests, the company also has the authority to make decisions that align with its business interests.
The engineers lamented the situation, recalling an agreement for their reassignment to Dangote’s oil and gas subsidiaries and stating that it was agreed salaries would be maintained until a resolution was reached. However, they noted discrepancies in their pay, with reductions in October and no payment for November, describing this as clear victimization and a breach of agreement.
As the impasse continues, affected engineers find themselves torn between accepting unsafe redeployments and the risk of losing their livelihoods. PENGASSAN is actively working to negotiate a settlement to prevent a nationwide shutdown, but both sides remain steadfast in their positions, leaving the future of the dispute undecided as discussions progress.
PENGASSAN DANGOTE RIFT WIDENS OVER SALARY SUSPENSION
