If the strike goes ahead, it could disrupt the company's iron ore operations and result in an estimated revenue loss of around USD 80 million per day.
According to the Combined Ports Unions, workers are planning to stop work between 2:00 p.m. and 10:00 p.m. local time on July 16 after nearly six months of negotiations over a new four year collective bargaining agreement failed to produce a settlement. Between 160 and 200 of the approximately 450 employees working in port and maintenance operations are expected to participate in the strike.
Unions: We have no other option
Western Australian Electrical Trades Union Secretary Adam Woodage emphasized that industrial action isn't the preferred outcome.
"This isn't anyone's preferred path, but if it's the only option we have left, we will take it," Woodage stated.
He added that BHP management should take employees' concerns into consideration to ensure a fair, safe, and efficient iron ore industry.
Union officials also announced that another meeting with BHP management is scheduled for Tuesday in an effort to prevent the strike.
BHP: We will continue constructive negotiations
The latest development follows last week's approval of a new collective bargaining agreement by workers at several of BHP's other operations in the Pilbara region.
BHP announced that a new agreement covering approximately 1,800 employees at the Mining Area C and South Flank operations was signed without any strike action.
In its statement, the company emphasized that a strong iron ore sector is important for Australia and stated that it will continue constructive negotiations to reach a fair agreement while ensuring safe and reliable operations.
Unions reject wage offer
The agreement approved last week at South Flank includes a guaranteed wage increase of %16 over four years, higher site allowances, and new compensation arrangements for delayed flights.
However, Steve McCartney, Western Australia State Secretary of the Australian Manufacturing Workers' Union, argued that the wage offer doesn't adequately reflect employees' working conditions, stating that a %16 wage increase over four years is insufficient.
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