Nigeria: Eleme Fertilizer-02/Port Harcourt
Case Tracker
Complaint Overview
Branch chairman of the local labor union of the company
Labor Issues
Project Information
US$285mn IFC A loan; US$870mn in mobilization of B/parallel loans; IFC B2 loans under IFC’s MCPP” of up to US$95mn.
Synopsis
IFC has several active projects with Indorama Corporation and Chemicals (Indorama) and is leading a debt financing package to Indorama Eleme Fertilizer and Chemicals (IEFCL), part of Indorama, for the construction of a third urea fertilizer line (“Line 3”). In 2016, IFC supported the construction of the first urea fertilizer facility (“Line 1”) and the second urea fertilizer line (“Line 2”), located at the same site as Line 1 in Port Harcourt, Nigeria. In 2024, IFC committed to finance Line 3.
In November 2023, CAO received a complaint submitted by the branch chairman of the local labor union of IEFCL, citing concerns related to working conditions and terms of employment, workers organizations, non-adherence to the Collective Bargaining Agreement, unfair termination, retaliation, lack of a functional grievance mechanism, and occupational health and safety.
In January 2024, CAO found the complaint eligible for assessment. During CAO's assessment, there was no consensus among the parties to participate in a dispute resolution process, and the complaint was transferred to the Compliance function for appraisal. CAO's Assessment Report is available in English.
In August 2024, CAO completed a compliance appraisal. While CAO concluded that there are preliminary indications of Harm or potential Harm to contractor workers related to some complaint issues, CAO did not identify preliminary indication of IFC’s noncompliance with its environmental and social standards. Accordingly, CAO decided not to conduct a compliance investigation. CAO’s Appraisal Report is available in English.
Case closed after compliance appraisal.
Status as of September 10, 2024.