The petroleum sector is very important to the country’s economy. Apart from being its main revenue spinner, it is also a major employer, among others. Therefore, any crisis in the sector affects every facet of it. TOBA AGBOOLA, who sought stakeholders views, writes that the Federal Government should find a lasting solution to the imbroglio between Dangote Refinery and Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) to avert any future recurrence.
Stakeholders have expressed grave concern over the crisis between the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and Dangote Refinery and Petrochemical, warning that the effect could cripple the nation.
According to stakeholders, the trade dispute has put Nigeria’s ambition of becoming Africa’s refining hub to test.
They warned that a prolonged dispute could push up fuel prices, strain households and businesses, and discourage local and foreign investors.
They, however, called for a final resolution to avoid such industrial disputes from escalating into a national emergency.
Also, the Nigeria Employers’ Consultative Association (NECA) expressed grave concern over the action by PENGASSAN, warning that the action amounts to self-help and tantamount to sabotage capable of derailing the country’s fragile economic recovery.
In a statement in Lagos, the Director-General of NECA, Mr. Adewale-Smatt Oyerinde, emphasised that a conflict is an inevitable feature of the labour ecosystem, and Nigeria has statutory and institutional frameworks to address any, including the Industrial Arbitration Panel (IAP) and National Industrial Court of Nigeria (NICN).
“Any action capable of discouraging investment, undermining enterprises sustainability, or harming the workers that the unions claim to protect will be counter-productive. While trade unions have the legitimate right to embark on industrial action, such rights must be exercised responsibly and within the bounds of the law.
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“It is unacceptable for any union to conscript or coerce those not interested in its action or disrupt the operations of legitimate businesses not party to the dispute. Treating institutions of labour administration with disdain and resorting to self-help is not only absurd but also against all known Conventions and Recommendations. When employers or workers are aggrieved, there are institutions created to adjudicate or arbitrate in such matters. Nigeria’s recovering economy cannot be sacrificed on the altar of actions and pronouncements that are alien to global and local industrial relations practice,” he said.
He noted that uninformed and disruptive actions that could jeopardise the nation’s economic survival are neither envisaged nor acceptable in global labour practice.
He said: “NECA will not be a passive onlooker as the foundation of Nigeria’s labour ecosystem is trampled upon. While we acknowledge the right to strike, such rights cannot infringe on the rights of others or threaten the survival of enterprises.”
Citing international labour instruments, including ILO Conventions 87 and 98, Oyerinde reaffirmed NECA’s commitment to upholding global labour standards, decent work and responsible business conduct, while not negotiating employers’ rights to manage their enterprises and investments within the ambit of the law.
He stressed that the protection afforded to union officials under international conventions does not extend to sabotage, coercion, or actions that undermine legitimate businesses or threaten national security.
Oyerinde called on the Minister of Labour and Employment to stop the wanton and wilful denigration of the industrial relations system.
He said: “With Nigeria sending one of the highest delegations to the ILO conference annually, it is curious that basic industrial relations principles, Conventions, and Recommendations remain poorly applied.”
He called for a resolution through lawful and constructive channels, warning that failure to act decisively could have far-reaching consequences for economic sustainability, job creation and preservation, investment attraction and promotion and national development.
Chief Executive Officer, Centre for the Promotion of Private Enterprise (CPPE), Dr Muda Yusuf, said shutting down the oil and gas sector could cripple the nation, describing it as “the lifeblood of the economy” in terms of energy, foreign exchange, and revenue.
He warned against risking national stability for the interests of a few workers, calling PENGASSAN’s action unjustifiable.
“What about those who have invested? What about consumers and other investors in the value chain? Their interests matter too. The union should not be this selfish, inflicting such pain and disruption on the economy,” he said.
Yusuf estimated the economic losses at billions of naira.
“You shut down and disrupt the entire process. By the time you resume, you must start over. The same goes for power stations, which depend on gas. This kind of impunity must not continue just because some people have power over strategic sectors,” he said.
Prof. Chiwuike Uba, a Development economist as well as Governance, and Public Financial Management (PFM) expert, said the dispute is not merely an industrial relations issue; it poses significant risks to economic stability, energy security, governance credibility, and the well-being of millions of Nigerians.
He said: “This crisis is a litmus test of Nigeria’s governance capacity. It examines whether legitimate worker rights and corporate governance can be reconciled with the public interest in essential services.
“Fiscal authority and social policy must be deployed quickly, transparently, and effectively to protect the most vulnerable.
“At the same time, public institutions must uphold the rule of law while preventing a narrow industrial dispute from escalating into a national emergency.
“How Nigeria responds will signal its ability to govern strategic sectors responsibly, protect citizens, and maintain credibility in domestic and international markets.”
He said globally, countries with large-scale refining infrastructure, such as India and the U.S., treat disruptions in national refineries as strategic emergencies, often mobilising contingency imports, stock releases, and immediate negotiations with unions.
He said the government’s handling of the Dangote crisis would thus be watched not only domestically but by investors and development partners assessing institutional reliability.
Also, a lawyer and expert on labour matters, Paul Omoijiade, said Dangote could not prevent his employees from joining the unions.
Noting that the capitalists could not do anything without labour, which is one of the four factors of production, he warned against the implications of trampling on the right of workers to unionise.
Also, a development economist at Governance Professional, Prof. Chiwuike Uba, called for immediate action, noting that industrial disputes should not escalate into a national emergency.
He urged that a neutral tripartite framework, including the Ministry of Labour, NNPCL, Dangote management, PENGASSAN, and an independent arbiter, should negotiate a suspension of supply disruptions while contested dismissals are reviewed.
According to him, contingency supply measures must avert scarcity, including transparent releases of strategic stocks and emergency imports.
