HomeMarket NewsAustralia Unions Threaten to Resume Strikes as Chevron 'Reneges' on Deal

Australia Unions Threaten to Resume Strikes as Chevron 'Reneges' on Deal

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Oil platform on the ocean. Offshore drilling for gas and petroleum

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Unions representing workers at Chevronโ€™s (NYSE:CVX) two liquefied natural gas export sites have threatened to resume strike action, accusing the company of โ€œrenegingโ€ on commitments made to Australiaโ€™s industrial tribunal. The workers had previously called off strikes two weeks ago after Chevron and the unions agreed on proposed pay and conditions put forward by Australiaโ€™s Fair Work Commission. However, the Offshore Alliance of unions claims that Chevron is not living up to its commitment.

If an agreement is not reached between the two sides, the matter could be escalated back to the Fair Work Commission, which had planned to hold hearings on whether to intervene and end the strikes following the apparent agreement.

The recent strikes at Chevronโ€™s Gorgon and Wheatstone facilities, which contribute to over 5% of the global liquefied natural gas (LNG) supply, caused disruption in natural gas markets. However, no LNG shipments were impacted by the strikes.

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