By Melanie Burton
MELBOURNE, Aug 4 (Reuters) – A two-day strike will go ahead at BHP’s Port Hedland operations in Western Australia this weekend despite progress in talks on Tuesday between unions and the global miner, a union spokesperson said.
BHP ships some $80 million of iron ore daily through Port Hedland, which is the world’s biggest export hub for iron ore.
As flagged last week, workers plan to impose a 24-hour ban on loading ships on Saturday, August 8, followed by a 24-hour work stoppage at the Port Hedland Bulk Export Terminal beginning at 0530 AWST on August 9 (2130 GMT August 8).
The action is likely to hold up 16 iron ore shipments over the two days, the union spokesperson said. BHP, the world’s third-biggest iron ore producer, has said it has plans to ensure that operations can continue.
Around 150 workers are expected to take part in the action, as the parties strive to reach terms on a four-year enterprise agreement.
“The meeting was productive, and while substantive issues are yet to be resolved, the parties have identified a path forward which we will pursue over coming weeks,” a spokesperson for Combined Ports Unions said in a statement.
Industrial action will still proceed as previously indicated, the union said.
The action is not expected to affect rival miners Fortescue and Hancock Prospecting, which also use Port Hedland. The hub accounted for 75% of total iron ore exports from the Pilbara in the year to June.
BHP said it would present an updated proposal at the next meeting on August 18, the same day that it will report its annual results.
Australia’s workplace regulator, the Fair Work Commission, is working with BHP and the unions on reaching an agreement.
“With another meeting scheduled and an updated proposal to come, we have made significant progress with the Commission’s assistance and there is no need for the unions to continue with their planned industrial action,” it said.
BHP has been negotiating for more than seven months with unions representing around 450 operators and maintenance workers over a new pay deal.
The unions said workers were seeking enforceable wage and condition protections. Workers argue that extreme heat, long hours and time away from family mean they should not be facing lower rates than workers in cities.
The fracture comes amid rising costs of living and a record share price for BHP, which is the world’s biggest listed miner and Australia’s largest listed company.
(Reporting by Sneha Kumar and Rajasik Mukherjee in Bengaluru, and Melanie Burton in Melbourne; Editing by Tom Hogue and Sonali Paul)
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