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CFMEU Begins Job Actions at Peabody Coal in Australia

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16 November, 2009

Rolling work stoppages began at a Peabody Energy coal mine in central Queensland on 7 November. The legal industrial actions, brought on by the American company’s proposed rollbacks in an enterprise labour agreement at its North Goonyella mine, could intensify in coming weeks, as members of the Construction, Forestry, Mining, and Energy Union (CFMEU) balloted this weekend on whether or not to take further industrial actions.

A prior enterprise agreement expired early in 2008. But that was extended one year, until 31 March 2009. The dispute now centers on work rosters, rates of pay, and conditions of living in a mining camp.

The CFMEU members took four three-hour work stoppages over a 24-hour period in the middle of last week. Further three-hour industrial actions could occur this week, and if this weekend’s ballot passes, legalized work stoppages could extend to 24- or 48-hour periods. Unrelated to the dispute, Peabody announced on 11 November that 34 miners would be made redundant by year’s end at North Goonyella.

Peabody owns other coal-mining operations in Queensland and New South Wales, and is the major stakeholder of other collieries that operate with sub-contractors. All miners at these enterprises are represented by the CFMEU. Peabody bought the North Goonyella colliery from RAG AG as part of a three-mine purchase in 2003.

The US multinational began mining coal in Australia through predecessor companies in the 1950s. Over the years, the CFMEU has developed close ties with the US mining union, ICEM affiliate United Mine Workers’ of America (UMWA), over Peabody’s collective agreements and organizing efforts.