Dangote Refinery Management succumbs to a deal brokered with Nigerian government to rehire sacked workers, after the refinery sackings that sparked two-day strike.
Nigeria’s Dangote Group has agreed to reinstate workers dismissed from its massive oil refinery after two days of negotiations mediated by the federal government. The deal brings an end to a strike that had disrupted the country’s oil and gas sector.
The breakthrough was announced Wednesday in Abuja after talks involving the Ministry of Labor and Employment, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), and the management of Dangote Refinery.
Labor Minister Muhammad Maigari Dingyadi, who chaired the discussions, stressed that Nigerian law protects workers’ rights to unionize and said those rights must be respected by all employers, including the country’s largest conglomerate.
Under the agreement, the Dangote Group will begin reabsorbing the dismissed workers across its businesses with no loss of pay. A joint communiqué also confirmed that no staff member will face retaliation for participating in the dispute.
In response, PENGASSAN pledged to suspend its industrial action, which had halted the supply of crude and gas to the $20 billion refinery. The strike, declared on Sunday, had raised fears of a wider disruption in Nigeria’s energy industry, already critical to the nation’s economy and foreign earnings.
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The confrontation began when Dangote Refinery dismissed several workers, a move the union described as unlawful and designed to weaken organized labor within the facility. PENGASSAN responded with a nationwide mobilization that quickly drew the attention of government officials.
The refinery, which is the largest in Africa and central to Nigeria’s ambition of ending decades of fuel import dependence, has been a focal point of labor tensions since its commissioning. With a projected capacity of 650,000 barrels per day, it is expected to reshape fuel markets across West Africa once it reaches full output.
Wednesday’s resolution is seen as a relief for both workers and investors, who had been closely monitoring the standoff. Analysts say the compromise may set a precedent for future labor disputes in Nigeria’s strategic energy sector, where unions wield considerable influence.
For now, the immediate priority for stakeholders is restoring stability at the refinery and ensuring that industrial peace holds. Both the government and PENGASSAN emphasized the importance of ongoing dialogue to prevent a repeat of the crisis.
The Dangote Group has yet to issue a detailed statement on how the reinstatement process will be carried out, but union leaders said they expect implementation to begin without delay.
