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Thai Affiliate in Pay Dispute with ExxonMobil

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28 October, 2005

Union members at the Esso Union of Petroleum and Chemical Workers Federation of Thailand (PCFT) are in a pay dispute with Esso Thailand Co. Ltd. The 354 union members at a refinery in Sti-racha, Chonburi province, have staged protests at ExxonMobil’s Thai offices since 10 October over Esso’s refusal to meet adequate pay demands.

Despite record profits and high petroleum prices, the company has stonewalled union demands to match pay increases equal to Thailand’s inflation rate. PCFT has reduced its pay demands in two government-conducted conciliation sessions and arbitration on the pay matter is scheduled for 4 November.

Under Thai labour law, the Esso Union of ICEM affiliate PCFT is prohibited from striking because of its strategic importance in the energy industry.