Dangote Group and NUPENG Reach Peace Agreement on Unionisation

Strategic Insights -

A peace agreement between Dangote Group and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has been brokered by the Department of State Services (DSS) following a closed-door meeting that lasted for over six hours in Abuja. The meeting, attended by several government officials and union leaders, resulted in a Memorandum of Understanding (MoU) that outlines the terms of the unionisation process. According to the MoU, the Dangote Group has agreed to allow its workers to unionise, while NUPENG has agreed to suspend its industrial action with immediate effect. The agreement also stipulates that the unionisation process will be completed within two weeks, starting from September 9, and that the Dangote Group will not set up any other union to rival NUPENG.

Key Takeaways:

  • The Department of State Services (DSS) brokered a peace agreement between Dangote Group and NUPENG, averting a nationwide industrial action.
  • The agreement, outlined in a 3-page Memorandum of Understanding, stipulates that the Dangote Group will allow its workers to unionise and that the unionisation process will be completed within two weeks.
  • NUPENG has agreed to suspend its industrial action with immediate effect, following a closure of filling stations in several parts of the country.
  • The agreement also states that the Dangote Group will not set up any other union to rival NUPENG, PENGASSAN, and other unions in the oil and gas sector.
  • The MoU was signed by representatives of NLC, TUC, NMDPRA, Dangote Group, and NUPENG, and was witnessed by several government officials, including the Ministers of Finance, Labour, and State for Labour.
  • The agreement marks a victory for the entire workforce in Nigeria and the masses at large, according to NUPENG President Akporeha Williams.

Statistics:

  • The Dangote Group employs over 10,000 workers in the oil and gas sector, according to the company's website.
  • The NUPENG-led industrial action had threatened to disrupt petroleum supply and distribution across the country, with several filling stations closed in various parts of the country.
  • The MoU stipulates that the unionisation process will commence on September 9 and be completed within two weeks, ending on September 22.

Sources:

  • Daily Trust: "DSS brokers peace between Dangote, NUPENG"
  • Daily Trust: "Dangote, NUPENG sign MoU"