Australian Inpex Workers Set Industry Precedent With New Pay Deal

Workers at Inpex's Ichthys liquefied natural gas plant in Darwin have overwhelmingly backed a new pay deal that unions hope to replicate across Australia's offshore energy sector.

The agreement is the first in what unions describe as a second wave of bargaining across the sector, as they seek similar pay and conditions in upcoming negotiations with Shell, Chevron and Woodside Energy.

The Offshore Alliance, comprising the Australian Workers Union and Maritime Union of Australia, and separately the Electrical Trades Union spent months negotiating the deal with Inpex on behalf of about 470 workers.

DEAL FOLLOWS STRIKE

Under the agreement, workers will receive annual pay rises of 3.75%, lifting the maximum base salary for some highly skilled employees to more than A$300,000 ($209,400) by 2030, not including five figure on- and offshore allowances, overtime, travel allowances and bonuses, according to documents seen by Reuters.

Inpex Senior Vice President Corporate Bill Townsend confirmed the vote in an emailed statement and said the company was preparing to submit the agreement with the Fair Work Commission for approval.

Shell's Prelude floating LNG facility is expected to be the next major bargaining battleground, unions said.

The previous Ichthys agreement was signed in 2022.

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