Norway pay deal with union

Norway-flag18 June 2014, News Wires – Norway’s oil industry has struck a wage deal with one of the unions engaged in last-ditch mediation talks to avoid a potentially damaging strike, though a second union is taking time out to consider its decision.

The Norwegian Organisation of Managers and Executives, known as the Lederne union, agreed to the pay pact with industry body Norwegian Oil & Gas (Norog) an hour after a midnight deadline on Tuesday to come up with an agreement in mandatory state-led mediation talks.

The union said it had acceded to the deal after employers agreed to carry out a study on the challenges for ageing workers with health issues with a view to more flexible retirement arrangements.

However, the Safe union still has not signed off on the pact and will wait until 27 June to give its decision as it awaits the outcome of a pending legal challenge by Norog, according to its leader Hilde-Marit Rysst.

The industry association has filed a complaint against the union’s proposal to take 154 ExxonMobil workers on the Jotun, Ringhoren and Balder platforms out on strike unless its pension demands are met, claiming such action would be illegal.

A verdict from Norway’s Labour Court is awaited at the earliest on 23 June.

Rysst was quoted as saying by Reuters the union would either sign the pay deal or go on strike.

The two unions had earlier threatened a stoppage at the three fields, as well as the GDF Suez-operated Gjoa platform, that would result in the loss of 100,000 barrels per day of oil and 15 million cubic metres of gas production, or 7% of Norway’s total output.

Further state mediation talks between unions representing workers at onshore supply bases are expected to take place on 19 to 20 June.


– Upstream

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