West Australia Government Condemns Shipping Strike

Friday, 18 December 2009

Western Australia's Premier Colin Barnett Friday condemned a planned four-day strike against Total Marine Services, a key shipping supplier to the oil and gas industry. The Maritime Union of Australia at the start of this month held a 48-hour work stoppage at Total Marine Services, as part of rolling strike action at shipping companies servicing Australia's oil and gas sector.
Major resource companies such as Woodside Petroleum Ltd. (WPL.AU), Santos Ltd. (STO.AU), BHP Billiton Ltd. (BHP) and Apache Corp. (APA) will be affected as a result.
"Industrial action by unions intent on squeezing money out of employers will not only threaten jobs but also damage the state's international reputation for sovereign risk," Barnett said.
A spokeswoman for the Maritime Union said it had received approval for the strike. Total Marine Services wasn't immediately available for comment.
The union is reportedly seeking a wage increase of 30% over three years, as well as an allowance of up to A$500 a day for workers involved in construction projects -- such as the Chevron-operated A$43 billion Gorgon project that started construction this month -- to close an apparent pay gap.
"We haven't reached a settlement with any of the shipping providers. The main issue is the allowance," the union spokeswoman said.
Employers have offered a pay rise of 25% over three years but have baulked at the pay parity demand.

Source: Dow Jones