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AP sacks 100 staff

By on October 10, 2011

African Petroleum (AP) Plc, one of the country’s leading downstream companies, has begun downsizing its workforce as part of its restructuring to reposition the company for competition.

The exercise, according to reliable sources in the company, will affect about half of the company’s workforce, which is between 80 and 100 staff.

The restructuring, it was also learnt, would cut across all staff and the company’s four regions and headquarters as well as all the operations – chemicals, installation, aviation, regional, territorial and area offices.

The affected staff have started collecting their letters of disengagement from last week and it is believed that before the end of this week, all those affected could have received their letters.

The Nation’s checks revealed that the company’s management decided to embark on the exercise to reposition it for competition through injection of fresh blood.

Since the Nigerian business mogul, Femi Otedola became the core investor in the company few years ago, there has not been a major restructuring and besides, the company has been declaring losses in the past three years. With the exercise, Otedola hopes bring in his people and have substantial control over and loyalty from the workforce

With the downsizing and injection of fresh people, the company will be positioned for a strategic competition for increased market share and profitability.

However, the staff disengagement, it was gathered, was mutual. Before the management started the implementation of the downsizing exercise, it held several meetings with the in-house labour unions – the National Union of Petroleum and Natural Gas Workers (NUPENG) and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), AP branch –   and agreed to follow due process.

By the end of this week when all the affected members of staff would have gotten their disengagement letters, the management would organize an investment training for them to aid them put their benefits to right use. Already, the company has engaged expert consultants for the training. It is after the training that the cheques would be handed over to the sacked staff.

Nation

One Comment

  1. Kayodetijani4

    October 12, 2011 at 10:58 am

    Sacking of staff is irrelevant.  Is it the staff that are not running the company well or the management?  AP management is not a serious one as the company continues to decline.  No dividend, no bonus what is more