BP’s Kwinana refinery have followed in the footsteps of Alcoa, moving to terminate an enterprise agreement with the Australian Workers Union on Wednesday.
A spokesman for the multinational oil and gas company told the Mandurah Mail BP had lodged an application to the Fair Work Commission to terminate the expired agreement of its operations and laboratory employees at the West Australian refinery.
“The expired agreement, which commenced in 2014, includes a number of terms that restrict productivity, efficiency and flexibility, and does not meet business needs,” he said.
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“It’s important that the Kwinana Refinery remain competitive, particularly given the intense pressure from larger refineries in the Asia-Pacific region.
“Despite 16 months of negotiations that included at least 42 meetings, the negotiating teams have not been able to reach agreement on a replacement Operations and Laboratory Enterprise Agreement (EA), covering 163 employees – of a total workforce of approximately 700 refinery staff.
“This was not a decision taken lightly and nor was it our preferred approach.
“It’s important to note that there are no pay cuts planned.
“BP will continue to negotiate in good faith with the bargaining representatives within the parameters of the Fair Work Act to reach an agreement that will ensure the long-term future of the Kwinana Refinery and the jobs it creates.”
Australian Workers Union assistant national secretary Misha Zelinsky took to social media to call the move a “disgrace”.
“BP is forcing AWU members to take pay cuts down the barrel of a gun,” he wrote on his Twitter account.
“This is a disgrace. It stops here.”