Home Business Nigerian Government Bans Oil Union PENGASSAN From Shutting Down Dangote Refinery

Nigerian Government Bans Oil Union PENGASSAN From Shutting Down Dangote Refinery

by Arabella Zikora

Dangote Refinery falls under the Free Trade Zone.

Managing Director, Olufemi Ogunyemi, disclosed this in a statement in Abuja on Thursday.

According to the federal government’s agency, strikes and lockouts are prohibited within such zones for a period of ten years from commencement of operations.

The agency described the recent shutdown of critical oil and gas facilities by PENGASSAN as unlawful within the context of the Free Trade Zone framework.

“Section 18(5) of the Nigeria Export Processing Zones (NEPZA) Act provides that ‘there shall be no strikes or lock-outs for a period of ten years following the commencement of operations within a Zone, and the Authority shall resolve any trade dispute arising within a Zone,’” he said.

According to him, the provision imposes a 10-year prohibition on strikes and lockouts within free zones while still allowing workers the right to form or join trade unions and engage in collective bargaining.

“We are pleased that the conflict has been de-escalated. Dangote Refinery is a declared FTZ that continues to benefit from tax incentives and customs duty waivers to support the economy, and NEPZA regulates it,” he stated.

Meanwhile, Nigeria’s 1999 constitution did not prohibit strike in Nigeria in line with Section 40.

PENGASSAN declared a strike a week ago over Dangote Refinery’s mass sacking of Nigerian workers.

After two days of the action, the Federal government intervened, which led to the suspension of the strike after a truce was reached between PENGASSAN and Dangote Refinery.

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