I remember reading this at least 15 years ago. Four or five protagonists, one was a dwarf with exoskeleton armor and an axe. Axe may have been powered also. I seem to think the dwarf's name may have started with a 'G'. Probably irrelevant, but I think I was reading lot of Robert Lynn Aspirin about that time period.
Possibly one of the Viriconium stories by M. John Harrison? They were published in he 70s-early 80s. One of the characters is named "Tomb the Iron Dwarf". He wears a powered exoskeleton. For example in The Pastel City there is the description:
To his left, Tomb the Dwarf towered above the Northmen in his exoskeleton, a deadly, glittering, giant insect, kicking in faces with bloodshod metal feet, striking terror and skulls with his horrible axe.
And the aforementioned horrible axe is indeed a powered weapon. Earlier in this story we read:
The black eyes flickered warily round the walls. They touched briefly on a powered battle-axe that Cromis had got from his friend Tomb the Dwarf after the sea fight at Mingulay in the Rivermouth campaign.