09/10/2025 | News release | Distributed by Public on 09/10/2025 05:49
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10 September, 2025On 8 September, the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and the Nigeria Labour Congress (NLC) reached a conciliation agreement with Dangote Refinery and Petrochemical Limited, averting a nationwide strike over anti-union practices.
Brokered by Nigeria's Federal Ministry of Labour and Employment, the agreement mandates immediate unionization at the refinery, with registered unions like NUPENG granted the right to organize workers. The process is to be completed within two weeks, with guarantees against the formation of competing employer-backed unions and protection for workers against retaliation for strike actions.
The agreement marks a significant victory for Nigeria's labour movement, reinforcing the legal and moral imperative of workers' rights to organize.
Two years ago, the inauguration of the US$20 billion Dangote Refinery in the Lekki free-trade zone near Lagos was heralded as a milestone for Nigeria's industrial ambitions. As Africa's largest refinery, it promised significant job creation and economic diversification.
However, optimism has soured due to the refinery's initial resistance to unionization, particularly for drivers tasked with distributing petroleum products nationwide. The refinery, owned by billionaire Aliko Dangote and its distribution partner, MRS, controlled by Dangote's relative Sayyu Ali Dantata, sought to exclude established unions like NUPENG in favour of an in-house union. This move prompted NUPENG, backed by the National Association of Road Transport Owners (NARTO), to call for a national strike.
The dispute intensified following Dangote's importation of 10,000 compressed natural gas (CNG) trucks in late August, aligning with the government's push for greener fuel alternatives. Recruitment for drivers came with a condition: applicants were required to pledge allegiance to the company's union, raising concerns about violation of workers' rights. The unions argued that Dangote Refinery and MRS's actions not only violate Nigeria's Labour Act and Constitution, which safeguards workers' rights to organize, but also contravenes International Labour Organization (ILO) Convention 87 on freedom of association and protection of the right to organize, to which Nigeria is a signatory.
Furthermore, the companies' apparent pursuit of a refining and distribution monopoly challenges the Petroleum Industry Act, designed to promote competition in a sector long plagued by inefficiency and corruption.
NUPENG's leadership,president Williams Akporeha and general secretary Afolabi Olawale, condemned the refinery's approach, accusing it of undermining collective bargaining and imposing exploitative contracts. "Wealth amassed through the suppression of workers' rights is unsustainable and unjust," they stated, emphasizing the centrality of union representation to fair labour practices.
Atle Høie, IndustriALL general secretary, welcomed the resolution:
"The actions of Dangote were a clear violation of fundamental trade union rights and IndustriALL intervened towards the company to push them to change their course. This agreement upholds national and international labour standards, befitting a leading African enterprise. We encourage Dangote Refinery to maintain constructive engagement with unions going forward."
Photo: Shutterstock
Nigeria
Energy (oil, gas, electricity and nuclear)
Building strong unions
Workers' rights