THE Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) says it would do everything possible to resist the planned retrenchment of 600 workers by Chevron Nigeria Limited.

The union charged the Federal Government to call the management of Chevron to order and direct it to comply with Nigerian laws and regulations in the oil and gas industry. 

Chevron Nigeria Limited had in a press statement on Friday disclosed its intention to cut its workforce by 25 per cent as it reviews its manpower requirements in the light of the changing business environment.

In a statement titled “Chevron Nigeria Limited reviews workforce in accordance with business exigencies,” the oil major said the move was to improve capital efficiency and reduce operating costs.

A press statement by Chevron’s branch of PENGASSAN which was signed by Ete Oyegbanren, Chairman, and  Lavin AghaunorSecretary, said 2,000 workers received notification on Thursday that their services were no longer required by Chevron.

The statement disclosed that workers who received the notifications were informed to  re-apply for new jobs in the company “wherein 600 of them would be subsequently declared redundant and their appointment terminated.”

The union accused Chevron of planning to engage more expatriates from America to replace the 600 Nigerians.

Checks by The ICIR, however, reveal that the move by the Chevron contradicts the Department of Petroleum Resources (DPR) 2019 guidelines for the release of staff in the Nigerian oil and gas industry

The Act states that whenever a holder of an oil mining lease, licence or permit under the Petroleum Act seeks to disengage any of its Nigerian workers, the approval of the Minister of Petroleum Resources through the Department of Petroleum Resources must be sought through a formal application.

With the Minister’s consent, the DPR shall conduct an investigation into the circumstances surrounding the release and the employer is precluded from publishing or advertising the release of the worker until the Minister’s approval has been given.

Esimaje Brikinn, Chevron’s General Manager Policy, Government and Public Affairs had stated that the reduction of 25 per cent of its workforce would improve the oil firm’s competitiveness.

“The aim is to have a business that is competitive and have an appropriately sized organisation with improved processes.

“This will increase efficiency and effectiveness, retain value, reduce cost, and generate more revenue for the Federal Government of Nigeria,” he said.