6 February, 2014Faced with threats by Kuwait Petroleum Corporation (KPC), government-owned national oil conglomerate, to cut some benefits and wages, oil workers, members of IndustriALL Global Union’s affiliate Federation of Oil Workers, plan possible strike action.
Thousands of oil workers in Kuwait plan to go on strike over a government decision to cut their wages. The announcement came from the union leader Abdulaziz Al-Sharthan, following the failure of lengthy talks with the new Oil Minister, Ali al-Omair, and top oil executives to resolve the conflict. The government supported call for wage cuts comes despite the fact that the average wages of Kuwaiti oil workers are reported to be only half that of counterparts in neighboring Saudi Arabia, United Arab Emirates and Qatar.
The union has given a two-week notice period to give the Government time to withdraw from the decision, and negotiate with the oil trade union. At a time of high oil prices, workers and their union are strongly determined to protect their terms and conditions including the “Success Partnership” bonus. Paid by KPC and its member companies for several years, this bonus gives workers a share in extra-budgetary profits made by the company largely due to oil price.
Speaking to IndustriALL Global Union Abdulaziz al-Sharthan said,
"The government is trying to ignore the trade unions as social partners, and unilaterally deciding on issues related directly to working and living conditions of workers. It is also trying to limit the role of unions especially in oil sector and to harm the reputation of unions and workers legitimate practices including the declared strike".
Jyrki Raina, General Secretary said in his letter written in support to the union,
“Our affiliated trade union has the full support of IndustriALL Global Union and its affiliates worldwide,”
IndustriALL also sent protest letters to the company and Kuwaiti authorities.
If workers are forced to take action to defend their present conditions then the strike will be total and include all production operations, exports, and petrochemicals production.
The country's oil sector employs around 19,000 Kuwaitis and currently produces around 3.0 million barrels per day, around a quarter of which is exported as refined products.