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Ruling goes against BHP

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31 January, 2000Union campaign to protect members' rights to collective representation achieves first victory.

AUSTRALIA: Unions gained a major victory yesterday, January 31, in their dispute with the mining and metals multinational BHP. The IMF's Australian affiliates -- the Australian Workers' Union, the Australian Manufacturing Workers' Union and the Communications, Electrical, Electronic, Energy, Postal, Plumbing Union -- report that the Australian Congress of Trade Unions won an interim Federal Court injunction restraining BHP from approaching its Pilbara iron ore workers in Western Australia to sign individual contracts. ACTU argued BHP's contracts discriminate against union members.
This decision by the Federal Court deals an important legal blow to the Australian government, which is attempting to make individual, so-called staff contracts the centerpiece of industrial relations. Although this is an important victory for the unions and all Australian workers, the national organiser for the AMWU, Neil Marshall, declared that "it is only one of many battles we have to win before we win the war." Today, February 1, BHP indicated it would challenge the Court's decision, reportedly saying that this would not stop them from seeking to make changes in Pilbara work practices.
The AWU had argued that "the inducements being offered to force the BHP workforce onto individual contracts is harmful to workers seeking collective representation, illegal and discriminitory." BHP appeared to have also effectively induced its workers to resign from their unions. The union said that these actions may be breaches of the Federal Workplace Relations Act and formed the basis of the Federal Court decision to grant the injunction. A full trial will hear further evidence in the case at a date to be fixed. Justice Peter Gray found that "there is some evidence of overt discrimination by BHP against those who continue to be its award employees."
BHP's refusal to bargain collectively resulted in extensive industrial action throughout its Australian operations. Internationally, the AMWU's Neil Marshall thanked the IMF for its role in coordinating support beyond Australian borders, saying the Korean Metal Workers' Union has contacted them to discuss possible strategies.