The Federal Government has brokered a truce in the dispute between the Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), with a commitment that workers recently laid off will be reassigned within the Dangote Group.
Labour and Employment Minister Dr. Mohammed Maigari Dingyadi stated in Abuja on Wednesday that the redeployed staff will retain their full benefits and salaries. He emphasised that none of the employees affected by the disagreement would be penalised for their role in the conflict.
According to the minister, both parties reached a settlement that would see PENGASSAN begin the process of suspending its industrial action. He further stressed that freedom of association and the right to union membership are protected by Nigerian law and must be upheld.
The row erupted after PENGASSAN accused the refinery of targeting union members through mass transfers and dismissals, while also raising concerns about Nigerians being replaced by foreign personnel. The union maintained that such practices breached labour rights and undermined local jobs.
Management at the refinery rejected those allegations, explaining that operational needs rather than union activities drove staff redeployments. The disagreement deepened when PENGASSAN shut down the supply of crude oil and gas to the refinery, triggering fears of disruptions to the country’s energy supply and economic stability.
The Federal Government intervened after earlier negotiations collapsed, convening a series of conciliation meetings. Following the breakthrough, the affected employees are expected to be reassigned promptly, while the union moves to scale down its strike.