Before tensions escalated between the Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) over the dismissal of some employees, insiders revealed that the company had proposed a surprising offer.

According to those familiar with the negotiations, Dangote Refinery suggested paying the affected workers their full salaries for a period of five years, without requiring them to work.

This proposal, sources say, was driven by concerns over the risk of internal sabotage. By keeping the dismissed employees on payroll but away from the facility, the company aimed to prevent any potential disruptions or security threats.

Although government officials reportedly raised concerns about the long-term cost implications of such an arrangement, the refinery's management maintained that the financial trade-off was preferable to the risk of having disgruntled or potentially compromised individuals within the operation.

A source said:

“Dangote offered to pay the sacked workers for five years to continue to stay in their homes, or do other things, but they will be paid every month for 5 years.

But they will not be allowed to go near the refinery, because they are not sure of not sabotaging. So, Dangote offered to pay them without work."

Although government officials at the negotiation table felt this offer could be financially heavy for Dangote, the company responded that it was safer than allowing untrusted individuals back into the refinery.

But PENGASSAN rejected the idea

According to sources, PENGASSAN turned down the offer from Dangote Refinery and instead wanted the employees to be moved to other parts of the Dangote Group.

When Premium Times contacted PENGASSAN General Secretary, Lumumba Okugbawa, he explained that the final decision was based on what both sides agreed to after several discussions.

He said negotiations are about compromise and that what mattered most was the final agreement, not the options that were rejected along the way.

When Dangote Refinery sacked workers

Recall that Dangote Refinery had recently let go of several employees.

The company said the dismissals were due to repeated sabotage, which had created safety risks and disrupted operations.

The company stated that the decision was not random but necessary to protect the refinery and maintain stable operations.

PENGASSAN protested the sacking of workers

In response, PENGASSAN instructed its members to block gas supplies to the refinery and called for a nationwide shutdown starting at midnight on 28 September.

The union accused the refinery of unfair treatment and of sacking Nigerian workers while keeping foreign staff, which led to the government stepping in.

Dangote Refinery, in turn, said the strike was illegal and warned PENGASSAN not to break the law. It added that the union had no right to interfere with contracts the refinery had with outside companies for gas and crude oil.

Dangote vs PENGASSAN dispute resolved

On Sunday, September 28, the federal government asked PENGASSAN to put its strike on hold.

By Wednesday, October 1, PENGASSAN suspended its industrial action after reaching a deal with Dangote Refinery.

As part of the agreement, Dangote Group promised to reassign the dismissed workers to other roles within the company.

There would be no pay cuts or punishments for any workers involved in the dispute. Dangote fuel distribution fails to lower petrol prices.

Meanwhile, despite the Dangote Refinery’s recent move to begin direct petrol distribution with free delivery, pump prices across Nigeria remain largely unchanged.