According to Premium Times, Sources familiar with internal negotiations between Dangote Refinery and PENGASSAN say the Group offered to continue paying full salaries to dismissed refinery staff for five years, without requiring them to return to work.
The offer came amid attempts to resolve a standoff with the Union.
One insider described how the offer was framed:
“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.”
That source added that the proposal was motivated by concerns over trust and internal security: the company preferred to keep affected employees on its payroll, but barred from accessing the facility, rather than risk potential disruption from workers who have been tagged saboteurs.
Union rejects the offer, demands reinstatement
PENGASSAN rejected this “pay-without-work” proposal outright, insisting instead that the dismissed staff be reinstated or redeployed within the Dangote Group without loss of pay. Union officials argued that paying people to stay at home for years was not acceptable compensation for what they regarded as unlawful mass dismissals.
When asked about the proposal, Lumumba Okugbawa, General Secretary of PENGASSAN, emphasized that the alternative paths offered during negotiations were less important than the final agreement reached. He said:
“Negotiations are about compromise… what mattered most was the final agreement, not the options that were rejected along the way.”
He also framed the union’s stance as principled: PENGASSAN argued that workers should not be paid to stay idle for years — they want their jobs back or equivalent deployment.
Escalation, mediation and resolution
PENGASSAN had ordered the suspension of crude and gas supplies to the Dangote refinery and initiated a nationwide strike after about 800 workers were dismissed — moves that threatened fuel logistics and sparked public concern.
“Crude oil supply valves to the refinery should be closed. The loading operation for vessels headed there should be halted immediately.”
Dangote’s management defended the dismissals as part of a restructuring to improve safety and guard against sabotage. Government officials, stepping in as mediators, helped broker a deal in which the sacked staff would be redeployed across the Dangote Group without losing pay — a resolution PENGASSAN accepted, calling off the strike.