Workers at two of BHP's Pilbara iron ore operations have voted to accept a new labour agreement that sets out pay and entitlements for the next four years, union spokespeople said on Friday.
The Combined BHP Ports Unions reported that 58% of participating employees backed the proposal put forward by BHP for the South Flank and Mining Area C sites in Western Australia. The agreement covers a workforce of 1,814 individuals, and 1,618 of those employees took part in the ballot, BHP's WAIO Asset President, Tim Day, said in an emailed statement.
Under the terms disclosed by the company, the new deal includes a guaranteed 16% pay increase over the four-year life of the agreement. It also raises site-based allowances and introduces a payment scheme intended to compensate workers for delayed flights.
Despite the majority vote in favour, union representatives emphasised that a sizeable minority voted against the package. The unions cited specific dissatisfaction with what they described as selective usage of company policies, and they said the agreement did not provide clear structures for progression and classification for employees on site.
The ballot result closes a round of negotiations at the two Pilbara operations but does not mark the end of industrial activity across the region. Talks are still under way at Port Hedland, where workers voted last month in favour of strike action. Port Hedland is identified in the information released alongside the vote as one of the largest iron ore loading ports globally and the largest in Australia, and it is linked to some of BHP's mines in the Pilbara.
BHP's statement via its WAIO Asset President confirmed the participation and outlined the elements of the agreement, while the Combined BHP Ports Unions provided commentary on the dissenting votes and the issues that remain unresolved for a segment of the workforce.
Context and consequences
The agreement applies to employees at South Flank and Mining Area C and sets out specific monetary and allowance changes for the term specified. Union feedback indicates that, although the deal was accepted by a majority, concerns about policy application and workforce career structure persist among a notable minority.
Negotiations continue separately at Port Hedland, where recent ballots have given workers a mandate for strike action. Port Hedland's role as a major iron ore loading port and its connections to Pilbara mines were highlighted in reports accompanying the vote results.