By Aisha Muhammad Magaji
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has raised alarm over what it describes as the unfair dismissal of workers at the multi-billion dollar Dangote Refinery, warning that unless the management reverses its actions, the facility could face nationwide picketing.
The warning, issued in a statement on Thursday, comes at a critical time when the refinery, touted as Africa’s largest and Nigeria’s most ambitious industrial project, is still stabilizing its operations. PENGASSAN argues that the reported sackings not only undermine workers’ rights but also cast a shadow over the refinery’s labour practices and long-term credibility.
Union Raises Red Flag Over Sackings
According to union officials, dozens of refinery employees were allegedly laid off without due consultation or the involvement of labour representatives. PENGASSAN insists that this breach of procedure violates Nigeria’s labour laws and international best practices.
“We will not tolerate a situation where Nigerian workers are treated as expendable in their own country,” a spokesperson for PENGASSAN said. “The refinery is a national asset of strategic importance, but that cannot be used as an excuse to trample on workers’ rights.”
The union also hinted that the refinery’s actions could set a dangerous precedent for other multinational and indigenous companies, emboldening them to disregard union rights and lawful labour processes.
Dangote Refinery Denies Mass Sack Allegations
In response to mounting criticisms, Dangote Refinery has denied that it engaged in mass sackings, clarifying that what occurred was a routine restructuring aimed at addressing “internal sabotage” and improving efficiency.
The company stated that while a small number of staff were affected, no law was broken and every affected worker was compensated. Management further argued that the refinery remains committed to providing jobs for Nigerians and has created thousands of direct and indirect employment opportunities since operations commenced.
“The notion of a mass sack is misleading. What we did was a strategic workforce adjustment to protect the integrity of the refinery. We remain committed to Nigerian workers and to building a refinery that benefits all,” a source within the company told journalists.
Labour Dispute Escalates
Despite these assurances, PENGASSAN insists that the refinery’s explanations are insufficient. The union says it has already mobilized its members and is ready to launch a picketing campaign at the refinery and other Dangote Group facilities if management fails to engage in constructive dialogue.
Union leaders argue that the refinery cannot afford to alienate workers at a time when Nigeria is heavily relying on the success of the project to address its fuel import crisis.
“The refinery was built with the hope of saving Nigeria billions of dollars in fuel imports annually. If it collapses into labour disputes this early, the entire nation stands to lose,” PENGASSAN warned.
Possible Economic Fallout
Analysts say the looming standoff could have broader implications for Nigeria’s fragile economy. Dangote Refinery, which has a projected capacity of 650,000 barrels per day, is considered central to the country’s energy future. If picketing or strikes disrupt operations, it could trigger fuel shortages, weaken investor confidence, and stall the federal government’s plans to achieve energy security.
Labour unrest in Nigeria’s oil and gas sector is not new. In past disputes, oil workers’ unions have paralyzed operations at key terminals and pipelines, causing billions in losses. Industry watchers caution that a similar scenario at the Dangote Refinery could ripple through the energy market and beyond.
Government’s Role in Mediation
The Ministry of Labour and Employment has not officially commented on the matter, but sources say the federal government is closely monitoring developments. Given the refinery’s national significance, the government is expected to step in as mediator to avert a crisis.
Labour experts argue that dialogue is the best solution, warning that a prolonged standoff could erode trust between workers, management, and the public. “This is not just a labour dispute; it’s a test of Nigeria’s ability to balance industrial development with fair labour practices,” said a labour relations consultant based in Lagos.
Workers’ Rights vs Industrial Ambition
At the heart of the dispute lies a broader question: can Nigeria achieve industrial breakthroughs without compromising workers’ rights? PENGASSAN insists that the two must go hand in hand.
“The refinery may be Africa’s pride, but it must also be a model of fairness,” the union said. “We are not against progress; we are against exploitation. Workers must not be treated as disposable tools.”
As both sides dig in, all eyes are now on the refinery and the government to see whether dialogue will prevail or whether Nigeria’s flagship industrial project will face its first major labour battle.
For ordinary Nigerians, the standoff has sparked anxiety. Many fear that disruptions at the refinery could translate into fuel scarcity, higher pump prices, and more economic hardship.
Whether compromise or confrontation wins the day, one thing is clear: the Dangote Refinery is now not only a symbol of industrial ambition but also a litmus test for how Nigeria manages the delicate balance between business growth and labour justice.
