SYDNEY, Aug 8 (Reuters) – Workers are set to continue their two-day strike at BHP's Port Hedland operations in Western Australia, according to a union representative. This marks the first significant industrial action at the iron ore export hub in over 20 years.
Around 150 workers are anticipated to participate in the strike. The strike includes a 24-hour ban on loading ships, followed by another 24-hour work stoppage on Sunday at the world’s largest iron ore export hub.
Steve McCartney, the Western Australian secretary of the Australian Manufacturing Workers’ Union, stated that members who are responsible for loading the ships are taking action starting on Saturday.
“On the second day, Sunday, all three unions will stop work for 24 hours,” McCartney said in Perth, based on a recording.
A BHP spokesperson mentioned that around $80 million worth of iron ore is shipped daily from the facility. They added, “Vessels are being loaded, with scheduled departures depending on usual port planning and tides,” and emphasized, “Our focus remains on reaching a fair and reasonable agreement.”
The three unions making up the Combined BHP Ports Unions represent part of BHP's workforce of over 800 at the port. They are in talks over a four-year agreement with the third-largest iron ore miner in the world. The unions decided to proceed with the strike despite some progress in discussions earlier this week.
Around eight ships are projected to finish loading at BHP ports over the weekend, according to a source close to the situation.
However, this strike is not expected to impact competitor miners, Fortescue and Hancock Prospecting, who also operate at Port Hedland. The hub accounted for 75% of iron ore exports from Western Australia's Pilbara region in the last year ending in June.
BHP has been in negotiations with the Combined BHP Ports Unions for over seven months regarding a new pay agreement amid record share prices and rising living costs. The unions are scheduled to meet with BHP again on August 18, coinciding with the company’s annual results announcement.