Cash deal: halts industrial action at Total Marine Services
Total Marine workers land 30% pay rise
Australian offshore services player Total Marine Services has ended a 10-month pay dispute with its workers which saw them down tools in a series of short strikes by agreeing to give them a 30% pay rise.
The company had been hit by a series short strikes, with yesterday's wage deal coming just hours before another planned stoppage.
The Maritime Union of Australia, which represented the seafarers in the long-running dispute, said the wage deal was only a partial catch-up with soaring rates for contractors in a booming oil and gas industry that is experiencing tight labour conditions.
Union National Secretary Paddy Crumlin told Dow Jones contractors were being paid about A$500 a day (US$445.70) more than Total Marine's employees and that the wage deal would not close this gap, only increase wages by an extra A$175 to A$215 a day.
Crumlin added the pay increases were "modest and reasonable" and added up to about 7% to 8% per year. The overall 30% rise will take place in stages until July 2012.
Total Marine chief executive Glenn Triggs said the 10 months of negotiations had been tough.
The pay deal offered a "significant uplift" to Total Marine's workers, Triggs said, adding the company would have to pass on some of the cost to its customers in the offshore sector.