A labor dispute at one of the East Coast's largest refineries could lead to higher gas prices and fuel supply concerns across the Northeast, union leaders warned Tuesday.

Workers locked out of the refinery in Linden say the facility is operating with what they describe as "skeleton crews" while contract negotiations remain stalled. Union officials say any operational problems or outages at the plant could affect fuel supplies and potentially drive up prices at the pump.

The refinery plays a major role in supplying gasoline, jet fuel and other products throughout New York, New Jersey and the broader Northeast. Union President Jeff Sanford emphasized the facility's importance to regional fuel supplies, saying, "Again, we're the largest Northeast refinery. We provide fuel for not only New York airports, but the major airports as well."

The refinery also produces plastics and other petroleum-based products, making it one of the few facilities of its kind in the region.

Sanford said workers are concerned about safety while the facility operates during the lockout.

"They're running skeleton crews, and that's our fear. Our fear for the local community," Sanford said.

He noted that union members who typically serve on emergency response teams are not currently inside the refinery.

Negotiators are scheduled to return to the bargaining table Tuesday morning, but Sanford said there were no signs overnight that either side had moved closer to a resolution.

"We're hoping for a resolution to get this done. Sooner the better," Sanford said.

The company has not indicated whether it plans to change its position in negotiations, according to the union.

A spokesperson for Bayway Oil Refinery says, “Phillips 66 plans to maintain safe operations at the Bayway Refinery and Linden Terminal with properly trained and qualified personnel to meet all customer requirements. Personnel supporting operations include supervisors, engineers and technical experts with many years of experience working in refinery and terminal operations and are fully trained to operate the facilities safely,” the company wrote in a statement.