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Australian Gas Workers Threaten Renewed Strikes as Labor Talks Stall

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(Reporting by Lewis Jackson; Editing by Kim Coghill)

SYDNEY – Australian workers at major gas facilities operated by Chevron Corp (CVX.N) are threatening renewed strike action as negotiations over pay and conditions remain deadlocked. The Offshore Alliance, a powerful union representing these workers, issued a notice on Tuesday indicating that strikes could begin as early as September 7th.

This development casts a shadow over the Australian energy sector, potentially disrupting global gas supplies just months after a similar dispute was narrowly averted. The Offshore Alliance had previously threatened strikes at Chevron's Gorgon and Wheatstone facilities, which account for approximately 5% of global LNG capacity. While those strikes were ultimately avoided through last-minute negotiations, this latest development suggests that key issues remain unresolved.

The union argues that Chevron has failed to address their concerns regarding pay, job security, and rosters. They allege that the company is attempting to erode worker rights and benefits while prioritizing profits. Chevron, on the other hand, maintains that they have been bargaining in good faith and have offered a competitive package to their employees.

"We are disappointed that the Offshore Alliance has elected to take this step," a Chevron spokesperson stated. "We believe that our current offer is fair and addresses the concerns raised by our workforce."

The Australian government, already grappling with an energy crisis and soaring energy prices, is closely monitoring the situation. The prospect of prolonged industrial action at these crucial facilities has raised concerns about potential economic impacts and energy security.

Energy analysts predict that renewed strikes could have significant repercussions for global gas markets. Australia is one of the world's largest exporters of LNG, and any disruption to its production would likely drive up prices at a time when global energy demand remains high.

The Offshore Alliance, meanwhile, remains steadfast in its commitment to securing a fair deal for its members. "We will not back down until Chevron comes to the table with a genuine offer that respects our members' contributions," said a union spokesperson.

About the author:

Lewis Jackson reports on companies, politics, and energy for the Breaking News Team in Sydney. His recent work includes coverage of extensive strikes at several of Australia's largest gas export facilities and the high-profile breakup of financial services giant PwC. Before joining Reuters, Lewis wrote about stocks at Morningstar.

Our Standards: The Thomson Reuters Trust Principles.


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