Exxon Mobil recalls helmsman, Fry, over workers' protest
By Yakubu Lawal (Lagos) and
Anietie Akpan (Calabar)
EXXON Mobil Oil Corporation has waded into the industrial dispute between the management and workers of its local affiliate, Mobil Producing Nigeria (MPN) Unlimited.
The parent body, ostensibly in a move to pave way for fruitful dialogue with the worker has recalled to its headquarters in the United States (US), MPN Managing Director, Mr. Mike Fry and named Mr. J. Chaplin as his successor.
The workers under the auspices of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has July 5, 2004 gave the management of Mobil a 21-day ultimatum to conclude negotiations on improved welfare package with them or be prepared for an indefinite strike.
They accused Fry of stalling the negotiation process, which started on April 20, 2004 and demanded his removal as the helmsman of the Nigeria operations.
A senior manager in the company, who confirmed the recall of Fry yesterday said that part of the workers agitation was that he be removed to allow for meaningful negotiations between the employees and the management.
Although MPN has not officially announced the transfer of Fry, an official disclosed that the restoration of industrial harmony` to the company which produces over 750,000 barrels of oil prompted the shareholders of the oil giant to succumb to the workers' demand.
"The contribution from Nigeria operation is very important in the overall performance of the company globally, so no right thinking management or shareholders will allow industrial crisis to stall such business," he said.
The incessant industrial crises in MPN may have forced Fry's exit who has only spent three of the minimum of four years or at most five years allowed a chief executive of the company.
The workers in the strike warning letter, sent to the company's president of Exxon Mobil, Mr. Mike Yeag, copied the Group Managing Director of the Nigerian National Petroleum Corporation NNPC Mr. Funso Kupolokun, the senior partner in the NNPC/Mobil joint venture operations in the country.
In letter, the workers stated that from July 5, 2004, "a 21 ultimatum is hereby issued within which the 2004 negotiations shall be closed in line with established gap of 29 per cent, failing which the unions shall withdraw the services of their members from all Mobil locations across the country."
But in a statement MPN's Executive Director. Mr. Udom U. Inoyo said negotiations had started between the management and the workers.
"Mobil Producing Nigeria MPN, operator of the NNPC/MPN joint venture today (July 6), confirms that management has been engaged in collective bargaining with the in-house labour union (PENGASSAN) over review of employee compensation and benefits.
"Although discussions between both parties have advanced appreciably, the union has issued a work-to-rule ultimatum, following disagreements over some of the issues under negotiation. Production is not affected by this development," Inoyo said.
The restated its belief in dialogue as the most logical mechanism for resolving outstanding issues and we hoped for an accelerated resolution, of the matter.
The workers are demanding for increased pay and other allowances to close gap with other competing firms in the industry.
The leadership of PENGASSAN in the resolutions in Mobil said its members in all MPN locations shall would red shirts to warn management of the dangers of not concluding the negotions with them on timely.
The union also resolved that from Monday, July 5,2004 its members in Lagos and Eket would boycot lunch to demonstrate "our resolve to sacrifice in order to defend our right."
"That effective Monday, July 5, 2004 PENGASSAN members in the office locations shall observe a two-hour daily devotion between 2p.m. and 4p.m. to seek divine intervention in order to prevent the company management from becoming like the Egyptians that perished in the Red Sea before the children of Israel (MPN employees) are delivered from cheating , oppression, intimidation and harassment."
The union noted that negotiations started on April 20, 2004 with management and had discussed the terms and condition of the charter of demands for 11 weeks but throughout the period management consistently violated the agreed ground rules.
"In our determined effort to move the process forward, the association verified its data and has proven beyond reasonable doubt that MPN is lagging behind in competition by 29 per cent," the letter added.
The association said it had to make several concessions that enabled it and management to arrive at a negotiated settlement of 25 per cent gap behind competition.
The workers noted that despite their patience, cooperation and understanding, the management was unwilling to make an offer that would close the established gap or the negotiated settlement. Instead, choose to make a 15 per cent offer and then interpret policies on medical benefits with the intent to reduce the established gap."
