Lockout Hits 160 Workers Over Bargaining Dispute
Around 160 coal miners at the Peabody coal mine in Helensburgh have faced a lockout for over a week. The workers were locked out without pay following a one-hour industrial action. The dispute stemmed from stalled negotiations over an enterprise agreement between the union and Energy.
The Mining and Energy Union (MEU) said Peabody’s action was retaliatory. The lockout followed a brief strike over a lack of progress in bargaining talks.
Union Slams “Harsh and Intimidating” Response
MEU South West District vice president Mark Jenkins condemned response. He described the lockout as an attempt to coerce workers into dropping their claims.
“Peabody’s move to lock out MEU members for over a week is nothing but an attempt to punish and intimidate workers for exercising their industrial rights,” Mr Jenkins said.
He stated the union only took a limited one-hour stoppage. “And then the company has retaliated in a hugely disproportionate way and locked the workers out for seven days,” he added.
The Mining and Energy Union claims that US-owned Peabody Energy retaliated after workers at the Helensburgh coal mine staged a one-hour stoppage due to stalled negotiations.
Lockout Announced Shortly After Bargaining Meeting
The lockout was imposed just hours after a Fair Work Commission meeting on the dispute. Mr Jenkins said there was no prior notice of the employer’s decision.
“We went into a bargaining meeting with the company on the day of the lockout and found out probably about an hour and 45 minutes after the bargaining meeting that the lockout was taking place,” he said.
Pay Rise Demands at the Heart of the Dispute
The Peabody coal mine workers asked for a three-year pay deal with annual increases of 5 per cent. They also sought a $1.50 hourly pay rise and an extra $4 for crib payments.
The union argued that workers accepted a lower wage increase in the past after being promised they’d be “looked after” later. Now, they want Peabody to deliver on that promise.
“Now, they deserve to see some of the benefits that they were promised in the last agreement,” Mr Jenkins said.
Company Defends Lockout Decision
A Peabody spokesperson confirmed that the company implemented an employer response action. This began from the night shift on Wednesday, 18 June, and will end on the day shift on Thursday, 26 June.
“In response, Peabody made the decision to implement employer response action, with a lockout of employees,” the spokesperson said.
Peabody acknowledged the workers’ industrial action and said the union had flagged more stoppages. The company insisted it remains committed to bargaining.
“Peabody remains committed to the bargaining process and will continue to negotiate in good faith toward a new enterprise agreement,” the spokesperson said.
Peabody confirmed the employee lockout in response to union actions and said it remains committed to fair enterprise agreement negotiations. [Image Credit: ABC News/Alex McDonald]
Previous Court Ruling Raises Concerns
The current lockout follows a Federal Court ruling against Peabody in 2023. The court found the company unjustly dismissed 22 workers at the same mine in 2020. They were replaced with contract labour, which the court ruled did not amount to “genuine redundancies.”
That case has heightened union concerns about how Peabody treats its workforce. The Peabody coal mine’s history now adds further tension to the ongoing dispute.
Other Local Mines Under Pressure
Meanwhile, uncertainty surrounds the nearby Tahmoor coal mine, which has not produced coal since February. The mine faces financial difficulties, and about 560 workers are being paid without their usual bonuses.
These workers are anxious about the mine’s future. The operation is owned by Sanjeev Gupta’s GFG Alliance, which also owns the Whyalla steelworks.
Independent MP Judy Hannan said the NSW government is monitoring the situation. She confirmed that negotiations with the mine’s owner are ongoing.
Union Urges Government to Step In
The MEU has called on the state government to intervene in the Helensburgh lockout. They believe the Peabody coal mine dispute highlights broader concerns across the mining sector.
With rising inflation and stagnant wages, miners want improved pay and job security. The union insists that the current actions taken by Peabody Energy are excessive.
“This is about a fair share. The workers have delivered record production. Now they want what was promised,” Mr Jenkins said.
The lockout at the Peabody coal mine continues to draw criticism from the union and concern from local communities. As negotiations resume, all eyes remain on how both sides will move forward.
