The Fair Work Commission (FWC) official overseeing talks between Chevron Australia and unions seeking a new enterprise agreement (EA) for LNG workers in Western Australia (WA) has set out recommendations for ending the long-running dispute.
Commissioner Bernie Riordan said the parties are on the "precipice of achieving historical first enterprise agreements for these Chevron LNG facilities" in his recommendation paper published on 21 September, after three days of conciliation discussions failed to reach a consensus.
"To date, a large number of issues have been settled on a without prejudice basis, which should form the foundation of enterprise agreements between the parties for the future," Riordan said. "However, a failure to settle all of the outstanding issues will result in those agreed provisions simply evaporating."
The full bench of the FWC is set to hear Chevron's intractable bargaining application on 22 September in Sydney. If successful, the commission could decide on the case itself and rule on the content of the EA.
Riordan's recommendations cover field loading allowances, classification progression, training pay, overcycle payments and job security, as well as a six-week notice period for any changes to panels to be made by Chevron.
The paper recommends an increase to Chevron's field loading allowance to a rate "competitive within the industry where employees experience a similar level of disability" – proposing a figure of A$103,000/yr ($66,000/yr) for Wheatstone platform staff and A$85,000/yr for downstream employees at the 8.9mn t/yr Wheatstone LNG and 15.6mn t/yr Gorgon LNG.
The paper also suggests a A$7,000/yr allowance to cover travel costs, as well as four hours' worth of pay at overcycle rates to staff delayed by late flights, when commuting home to WA state capital Perth from remote workplaces.
In his conclusion, Riordan said it would be "very unfortunate" if the parties did not capitalise on progress made during the negotiations, urging the parties to adopt his recommendations.
Both parties have until 9am Sydney time (11pm GMT) on 22 September to accept Riordan's recommendations, just one hour before the FWC hearing.
