By Helen Clark PERTH, April 16 (Reuters) - Workers at Inpex’s Ichthys liquefied natural gas plant, one of Australia's largest, will finish voting on Friday on a new employment agreement which, if
Australian LNG Workers Vote on Inpex Employment Deal as Strike Looms
Inpex Ichthys LNG Plant Workers Face Crucial Vote Amid Market Uncertainty
By Helen Clark
Background and Context
PERTH, April 16 (Reuters) - Workers at Inpex’s Ichthys liquefied natural gas plant, one of Australia's largest, will finish voting on Friday on a new employment agreement which, if rejected, could lead to strike action.
The vote by workers at the 9.3 million metric ton LNG plant and its associated facilities comes as the Iran war has taken significant volumes of LNG out of the market and another plant in Australia, the world's No. 2 LNG exporter, operates below capacity due to cyclone damage.
Union Response and Worker Sentiment
Members of the Offshore Alliance, a grouping of unions, have expressed displeasure with the company's offer, arguing that pay conditions do not keep up with the consumer price index and are below industry standards.
"After six months of negotiations, INPEX has failed to agree to even the most basic claims put forward by its workforce," Offshore Alliance spokesman and AWU Assistant National Secretary Chris Donovan said in a statement last week.
Unionization and Workforce Details
The Ichthys workforce of about 430 is around 95% unionised, according to a union representative.
Inpex’s Position on the Employment Offer
Inpex says its offer is fair and competitive.
"It maintains alignment of our employment conditions with the external market and meets or exceeds peer conditions in several areas," an Inpex spokesperson said.
Potential for Industrial Action
Separately, union members are due to finish voting next week on whether to take protected industrial action, with the ballot closing on April 24. The Fair Work Commission, which oversees workplace disputes, has approved the potential action.
Recent Precedents and Market Impact
In 2023, a strike at Chevron’s Wheatstone facility in Australia tightened global LNG supply.
More than 20% of the world’s LNG supply has been constrained by the closure of the Strait of Hormuz since the start of the Iran war on February 28.
Financial Context
($1 = 1.3918 Australian dollars)
(Reporting by Helen Clark, Editing by Louise Heavens)
