by Ola Williams-
The Nigeria Export Processing Zones Authority (NEPZA) has reaffirmed that the 10-year prohibition on industrial strikes and lockouts remains firmly in place across all Free Trade Zones (FTZs) in the country — including the Dangote Refinery.
The Managing Director of NEPZA, Dr. Olufemi Ogunyemi, made this clarification in Abuja following the recent industrial unrest that disrupted operations at the refinery.
Last week, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) reportedly shut down key oil and gas installations in protest, alleging that the Dangote Refinery had dismissed about 800 workers for joining the union.
However, the refinery management countered that the layoffs affected only a small number of employees accused of sabotage as part of an internal reorganisation exercise.
In a statement signed on Thursday by NEPZA’s Head of Corporate Communications, Dr. Martins Odeh, Ogunyemi described the situation as “deeply concerning,” noting that it contravened the Free Trade Zone regulations.
“The union ought to have channelled its grievances through NEPZA in line with the law,” Ogunyemi said. “The Authority operates a One-Stop-Shop administrative model precisely to streamline and expedite processes while maintaining industrial harmony.”
Quoting the relevant statute, the NEPZA boss reiterated:
“Section 18(5) of the Nigeria Export Processing Zones (NEPZA) Act provides that there shall be no strikes or lockouts 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 further explained that while workers in Free Zones retain the right to unionise and engage in collective bargaining, the Act expressly bars strikes and lockouts within the first decade of operation.
“We are pleased that the conflict has been de-escalated,” Ogunyemi said. “Dangote Refinery is a declared Free Trade Zone that enjoys tax incentives and customs duty waivers to stimulate the economy — and NEPZA regulates it fully.”
According to him, Nigeria’s Free Trade Zone scheme — which has existed for over three decades — aligns with global best practices aimed at driving industrialisation and economic growth.
He stressed that all trade disputes within Free Zones must be referred to NEPZA for resolution, emphasising that the restriction applies only within the zones and not to the broader Nigerian economy.
Ogunyemi also cited Section 24(1) of the Act, which limits the influence of external laws on the zones’ internal operations.
“Consequently, in cases of conflict between the Trade Unions Act or the Trade Disputes Act and Section 18(5), the provisions of Section 18(5) take precedence as the more specific regulation governing Free Zones,” he stated.
The NEPZA boss commended President Bola Tinubu for his prompt intervention in resolving the refinery dispute.
“It is a sign of President BAT’s maturing democracy that this issue has been resolved quickly without deleterious effects on our economy,” Ogunyemi said.
