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Strike Actions Hit Argentina’s Oil Sector

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27 November, 2006

 

The oil industry of Argentina saw two strikes over the past two weeks, as workers protested against current and exorbitant taxation rules. A third strike was postponed to allow labour and management to continue bargaining.

The strikes affected the leading oil and gas producing provinces of Neuquen, Chubut, Santa Cruz, and Rio Negro.

Both ICEM affiliates from Argentina’s energy sector, Federación de Trabajadores de la Energía de la Republica Argentina (FeTERA) and Federación Argentina Sindical del Petróleo y Gas Privados (F.A.S.P.Y.G.P), were involved in the actions.

              

Oil and gas production plant workers first went on strike, just under two weeks ago. Their strike ended five days later after an agreement guaranteeing a bonus, ranging from US$30 to US$180 per month, to compensate for high taxes on overtime pay. A bill exempting food and transportation costs from income taxes was hastily put through Congress at the same time.

Early last week, a second strike broke out, this time by the supervisory staff of the oil & gas production plants. Supervisors were seeking the same benefits granted to other workers in the plants. Here, as well, talks between supervisors and their employers, mediated by the Ministry of Labour, resulted in an agreement, on 22 November. In addition to agreeing on tax reductions, supervisory personnel also won the right to have their own collective bargaining agreement.

A third strike, by Argentina’s 18,000 oil refinery workers, also seeking similar benefits, was postponed, as workers agreed, on 21 November, to abstain from striking to allow for a one-week period of negotiations. That was then extended to 15 days. Oil refineries, as well as upstream operations affected by the strikes and potential strikes include facilities and fields owned by Repsol, Royal Dutch Shell, Chevron, ExxonMobil, and Petrobras.

Full blown strikes of the refineries would have a serious impact on the country’s petrol supplies, since any shut down of operations would take weeks to re-open production.

“For the moment, there are no refineries on strike,” said Alberto Roberti, Organisational Secretary of F.A.S.P.Y.G.P., quoted in the country’s press late last week. “We will use this window of opportunity to talk, even though, so far, we have not seen any changes from the employer’s side.”