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Union workers have called for an end to strike actions at liquified natural gas facilities in Australia belonging to Chevron.
Chevron and the Offshore Alliance, which represents the Maritime Union of Australia and the Australian Workers’ Union, said September 22 that they had settled on the terms of an agreement proposed by Australia’s Fair Work Commission (FWC), according to CNN.
The Offshore Alliance added that the proposed deals “contain substantial improvements in terms and conditions of employment, including increased remuneration, job security, locked-in rosters [and] career progression.” The organization said that it will work with Chevron to “finalize the drafting of the three agreements.”
This comes after Chevron announced September 21 that it accepted the terms of a deal brokered by an Australian labor regulator to resolve the organization's dispute with unionized employees at the company's Wheatstone and Gorgon liquified natural gas (LNG) plants.
The strikes could have impacted up to 7% of the world’s supply of LNG. However, Daniel Toleman, a principal research analyst of global LNG at Wood Mackenzie, said that the strikes have not had a “material impact” on the global supply of LNG and that prices are “likely to soften.”
Chevron pursued legal actions with the FWC after contract negotiations between the two sides broke down September 8. Previously, Chevron had been negotiating with workers, alongside Woodside Energy, over improved benefits like higher wages and better working conditions. However, hundreds of workers at the facilities began holding short strikes with two weeks of 24-hour strikes scheduled to start after September 7 following the breakdown of contract talks.
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