Daewoo Engineering and Construction Nigeria (DECN), one of the key contractors on the NLNG Train 7 project, has announced ongoing discussions with its workforce and their unions to address the concerns that triggered the project’s halt.
Last week, welders and fitters affiliated with the National Association of Plants Operators (NAPO) ceased work, citing suspicions of tax irregularities within the company’s payroll system.
The employees demanded that the company furnish them with official tax receipts and their Tax Identification Numbers (TINs) as proof of proper tax compliance.
In a statement released in Port Harcourt on Monday, DECN management refuted any allegations of tax misconduct, clarifying that tax receipts are issued by the Rivers State Internal Revenue Service (RIRS), not by the company itself.
Bernard Ewubare, the Contract, Administration and Services (CAS) Manager, emphasized that TINs are assigned by the Joint Tax Board (JTB) and the Federal Inland Revenue Service (FIRS), and not generated internally by DECN.
The company appealed to the welders, fitters, and their unions to allow a two-week period starting Monday, September 22, 2025, to resolve the ongoing industrial dispute.
“Daewoo Engineering and Construction Nigeria (DECN) is deeply concerned about the recent work stoppage related to demands for tax receipts and TINs from welders and fitters on the Train 7 project,” the statement read.
“We recognize the confusion surrounding tax documentation for some of our workers and wish to clarify that all tax deductions are promptly forwarded to the Rivers State Internal Revenue Service (RIRS), which then issues the corresponding tax receipts to employees,” it added.
“Furthermore, the issuance of Tax Identification Numbers is the responsibility of the Joint Tax Board (JTB) and the Federal Inland Revenue Service (FIRS), not DECN,” the company reiterated.
“We categorically deny any involvement in fraudulent activities related to tax deductions,” the statement concluded.
DECN also committed to working closely with RIRS to ensure that all welders and fitters receive verifiable tax certificates containing valid TINs linked to the company’s code within the stipulated two-week timeframe.
On the other hand, Harold Benstowe, President General of NAPO, maintained that the fundamental issue remains tax fraud, questioning why deductions are made from workers’ salaries without providing corresponding receipts.
“This problem has persisted since the inception of the Base project (Train 1),” Benstowe remarked.
“It is unacceptable that companies deduct taxes from employees’ wages without furnishing proof, leaving workers unable to verify their tax compliance. This lack of transparency is something NAPO finds deeply troubling,” he added.
Benstowe warned that if the contractors and NLNG fail to promptly address these concerns, NAPO may escalate the matter, insisting that workers have the right to receive clear evidence of tax payments and their TINs without unnecessary delays.
