Dangote Refinery Sackings Deepen Labour Showdown Despite Management’s Denial

September 26, 2025
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Nigeria’s $20 billion Dangote Petroleum Refinery was at the centre of a growing labour storm on Friday after management confirmed a sweeping “reorganisation” that saw scores of Nigerian workers dismissed barely a day after they formally joined the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).

The development has triggered outrage from labour leaders and warnings of wider industrial action.

In an internal memo dated September 25 and addressed to “All Staff,” refinery management announced that employees’ services were no longer required with immediate effect, citing a “total re-organisation” following “many recent cases of reported sabotage” that allegedly posed serious safety concerns.

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Dangote Refinery document on the dismissal of All Staffs

The letter instructed workers to surrender company property and obtain exit clearances before receiving their benefits.

PENGASSAN officials say the dismissals came just hours after union membership lists were submitted to management in line with a federal government–brokered agreement guaranteeing staff the right to organise.

The union alleges that management first withdrew company buses, forced employees to self-fund transport, denied entry to union members, and ordered security to detain local union leaders before issuing the termination notices.

PENGASSAN letter

It described the actions as a “direct violation” of Section 40 of the 1999 Constitution, which protects freedom of association.

Management insists the decision is not linked to unionisation. In a follow-up statement, the company said it “recognizes the right of workers to unionize” but must also safeguard the rights of employees who choose not to join. It maintained that the shake-up was driven by safety concerns and operational sabotage, not retaliation against union members.

READ ALSO: Dangote, Fuel Marketers in Fierce Face-Off Over Alleged ₦1.5 Trillion Subsidy

Analyst Accuses NUPENG of Economic Sabotage Over Dangote Refinery Dispute

The federal government, which earlier this month mediated a fragile truce between Dangote and oil-sector unions, is now under pressure to step in again.

PENGASSAN has summoned an emergency meeting to decide its next move and is threatening legal action to challenge what it calls targeted victimisation.

The timing of the dismissal occurring the same day the first batch of union membership lists was delivered has intensified scrutiny of Dangote’s motives and raised questions over the company’s compliance with labour laws.

Analysts caution that prolonged unrest could disrupt output from Africa’s largest refinery, where the gasoline unit is already undergoing repairs, potentially triggering fuel shortages or price spikes nationwide.

Labour ministry officials are expected to open talks with both sides in the coming days. For now, the refinery continues limited operations, but the dispute is emerging as a critical test of Nigeria’s commitment to protecting workers’ rights while safeguarding a project seen as pivotal to the country’s energy security.

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Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.

Amanze Chinonye

Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.

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