Hundreds of staff at Australia’s biggest iron ore port will go on strike next week, potentially costing mining giant BHP $120 million in just one day.
The Combined Ports Unions, made up of the Western Mine Worker’s Alliance, the Australian Manufacturing Worker’s Union, and the Electrical Trades Union, said staff at BHP’s Port Hedland site in WA will down tools next Thursday.
Disruption at the site in Port Hedland could cost BHP $120 million. Erin Johansson
This comes after talks between the mining giant and the unions lasting six months broke down, and nine.com.au understands eight meetings have taken place between the parties.
A statement from the unions said work would stop for eight hours, seeing up to 200 workers out of the 450 at one of Australia’s most important mining sites walking off the job.
“This is nobody’s preferred way forward, but when it is our only way forward we will take it,” Electrical Trades Union WA Secretary Adam Woodage said.
“This company has engaged in a campaign of US-style stonewalling tactics rather than negotiating the same kind of agreement that governs the conditions workers across this state at other companies – and that governs BHP workers in other parts of the country,” he said.
Workers at the company’s port operations and the maintenance workforce represented by the union will be involved in the strike action.
Western Mine Workers Alliance Spokesperson Craig Beveridge claimed the company had not properly listened to the concerns of workers on a number of fronts
“Our members at Port Hedland are deeply concerned about conditions, classifications, career progression, pay and fairness,” he said.
BHP said the whole country benefits from a strong iron ore sector, and said it wanted to reach a deal with workers.
A BHP spokesperson also referenced a deal struck last week with workers at a different site last week.
“Our focus remains on keeping our people safe, maintaining productive operations and reaching a fair, competitive and reasonable agreement with our people,” the spokesperson told nine.com.au.
BHP recently became the most valuable Australian company. Will Willitts
“We have delivered a new enterprise agreement at Mining Area C and South Flank that rewards 1800 workers – without industrial action.
“We are eager to keep negotiating constructively for a fair deal, while making sure we can keep operations running safely.”
WA Premier Roger Cook said he was “concerned” by the prospect of disruption to one of the most important mining sites in Australia, but said workers deserved to be properly compensated for their work due to its vital nature.
“It’s a tough place to work,” he said at a press conference on Wednesday.
“That’s why the workers there earn their living, and we want them to be rewarded for that work.
“Clearly I want the workers and the companies, through their unions and their representatives, to come to a good negotiated outcome.”
BHP recently overtook the Commonwealth Bank as the most valuable Australian company, with its market capitalisation currently sitting at $293.67 billion.
WA Premier Roger Cook said it was important for the state’s economy that a resolution was reached. AAP
It’s share price has risen by more than 20 per cent in the last six months to $57.00 per share, though it has seen a drop of 3.18 per cent today at the time of writing.
It also had a change in CEO recently, with Mike Henry stepping down at the start of the month after six and a half years in charge.
He was replaced by Brandon Craig, who was previously in charge of the company’s operations in the Americas region.
The company has more than 90,000 employees, with around 31,000 in Australia alone.
Reported with Reuters