The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has raised concerns over oil companies’ growing reliance on foreign workers, particularly Indians, and their failure to hire qualified Nigerians.
The President of PENGASSAN, Festus Osifo, warned that the union is preparing for a confrontation with firms prioritising expatriates, a practice he argues contravenes local content laws.
Osifo voiced his concerns on Tuesday during the union’s National Executive Council meeting in Abuja, criticising companies for abusing the expatriate quota. “A pressing concern is the high number of expatriates in Nigeria’s oil and gas industry, mainly from India,” he said. “While skilled foreign workers contribute to economic development, the current situation demands attention.”
He cited the Nigerian government’s target of increasing local content participation to 70% by 2027, noting that the neglect of Nigerian workers creates resentment among the local population. “We have been calling names. We are not shying away from calling names,” Osifo stated, referring to past efforts to address the issue with companies like Indorama.
Osifo also called on the Nigerian Content Development and Monitoring Board (NCDMB) and the Ministry of Interior to curb the issuance of work permits to expatriates. “If you go to some of these companies, vulcanizers and conductors are Indians. Even operators are Indians,” he complained.
The union leader stressed that PENGASSAN was ready for a tough fight to hold companies accountable and reduce the number of expatriates in Nigeria’s oil and gas sector.
In addition to employment issues, Osifo sought clarification on the proposed tax reforms bill, particularly the role of the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the Nigerian Upstream Petroleum Regulatory Commission in revenue collection.
Despite these challenges, Osifo assured that no jobs have been lost in the wake of international oil companies’ divestments, affirming that PENGASSAN is committed to safeguarding Nigerian workers’ positions. “First, you safeguard the job, then you talk about pay enhancement,” he added.
