Unions to strike at Jadestone's offshore Montara field

THE Maritime Union of Australia and Australian Workers Union have today filed a protected action ballot with plans to strike at Jadestone Energy’s Montara and Stag platforms offshore northern Western Australia.
Unions to strike at Jadestone's offshore Montara field Unions to strike at Jadestone's offshore Montara field Unions to strike at Jadestone's offshore Montara field Unions to strike at Jadestone's offshore Montara field Unions to strike at Jadestone's offshore Montara field

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Paul Hunt

Senior Journalist: Oil & Gas, Policy.

Paul Hunt

 

There is currently 100% union membership on the Montara floating production storage and offloading vessel. 

The unions, working through a coalition dubbed the Offshore Alliance, intend to strike over proposed pay cuts to fly-in, fly-out workers. 

In late July, Jadestone posted a strong half-year result, despite the oil price crash and other economic woes felt by other regional explorers and producers. It reported record profits. 

Jadestone was not immune to the oil price crash, but instead of reducing production, increased output and reduced operational costs. It appealed to its workforce to take a 10% cut across the board, partly to lower operational costs but also to fund new acquisitions

AWU National Secretary Misha Zelinsky told Energy News in a statement following Jadestone's results, that union workers had been left "appalled and disappointed" by the company's decision to slash pay by up to $18,000 a year. 

"Jadestone Energy announced a record annual revenue of US$325 million and posted a huge profit. They publicly attributed this, along with a 330% increase in daily average production, to the Stag platform and the Montara FPSO," Zelinsky said. 

"Now the company is telling the same workers who made this possible that they need to have their pay cut by 10%."  

The union workers will vote on whether to strike or not in the coming days. If the vote is successful, workers will be allowed to legally strike across the Montara FPSO but will need to provide notice to Jadestone. 

The unions began negotiations with Jadestone for a new EBA in February, well before the COVID-19 pandemic and oil price crash. 

So far, Energy News understands the unions have met with Jadestone management four times. The latest meeting, which was unsuccessful, was held last month. 

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