Hundreds of workers at Australian miner BHP’s Port Hedland iron ore operations in Western Australia may stage an eight-hour work stoppage on July 16, following six months of unsuccessful negotiations over a new four-year labor agreement, according to union representatives, according to a report by Reuters.
The proposed action, described by unions as the largest industrial action at the site in decades, could involve 160-200 employees out of approximately 450 workers responsible for port and maintenance operations. The workers are represented by the Combined Ports Unions, which comprises four unions operating at the site. According to union officials, the planned stoppage could still be avoided, with a meeting between BHP and union representatives.
Unions and BHP remain in negotiations
Adam Woodage, secretary of the Electrical Trades Union Western Australia, said the industrial action was not the unions’ preferred option but had become necessary after negotiations failed to produce an agreement. He expressed hope that the planned action would encourage further negotiations.
BHP stated that it had recently reached a new enterprise agreement covering 1,800 workers at its Mining Area C and South Flank operations without industrial action. The company said it remains committed to negotiating a fair agreement while ensuring safe and uninterrupted operations. The company noted that the South Flank agreement includes a 16 percent wage increase over four years, higher site-based allowances and a new compensation scheme for delayed flights. However, the Australian Manufacturing Workers’ Union said the pay increase does not adequately compensate employees for working conditions and time spent away from their families.
Port Hedland, which is also used by Fortescue and Hancock Prospecting, handles iron ore shipments valued at approximately $150 million per day. A disruption at BHP’s operations could affect around $80 million of the company’s daily revenue.