Looking for a specific product?

Make a search for products & suppliers, articles & news.

Massive costs for unreasonable strike

The 114 oil workers who have downed tools on Norway's Continental Shelf (NCS) cost Norwegian society and the companies close to NOK 30 million a day.

“This represents a vast amount for a meaningless strike,” says Jan Hodneland, director of employer policy at the Norwegian Oil Industry Association (OLF).

The Norwegian Union of Energy Workers (Safe) approached the OLF to secure a pay deal for these 114 workers in Baker Hughes, he notes.

At that time, the union must have been aware that any accord would necessarily have to be the same as all the existing agreements in the oil service sector.

“Safe is choosing to impose huge costs on society and the companies in a fight where it knows full well that victory is impossible,” says Mr Hodneland.

“As in other areas of Norwegian working life, agreements on pay and conditions must be the same for people doing the same type of job.

“Anything else would be unreasonable to more than 4 500 offshore service workers in other unions and to the rest of the Baker Hughes workforce.”

Essential
The striking workers do jobs essential for safe and acceptable drilling on the NCS. If a couple of people on a rig down tools, the whole drilling operation must in many cases be halted.

“This means that a strike imposes huge costs when drilling rigs have to suspend activities because of a small group’s unreasonable demands,” Mr Hodneland says.

“If Safe opts to continue fighting for the unattainable, the costs could quickly run into billions of kroner for various operational reasons.”

Further information from:
Eli Ane Nedreskår, communications manager OLF, +47 99 45 010 01

 

Related news

Latest news

Record-breaking Aqua Nor!

Aqua Nor 2017 closed its doors after four fantastic days. The final count showed that no less than 27 110 visitors had found their way to the exhibition. This represents an increase of over 30% compared to Aqua Nor 2015.

CLOUD COMPUTING, FISHTALK & AKVA CONNECT - SOLUTIONS & AMBITIONS

In partnership with key customers, 

Students design autonomous containers to disrupt sea freight of aquaculture products

Along with eight other graduates, he has developed SEAtrue, 

DNV GL applies data analytics techniques to reduce downtime

“We’ve seen similar results in several other digitalization initiatives we’ve had lately. 

DNV GL and Siemens lead the way in asset lifecycle management for the oil and gas industry

In collaboration with Siemens, 

Eimskip strengthens its worldwide forwarding services by acquiring the logistics company SHIP-LOG A/S in Denmark

Eimskip has strengthened its position in worldwide logistics services by acquiring 75% of the freight forwarding company SHIP-LOG. 

For Sale Assets from the former BMV LAKSEVÄG YARD in Bergen, Norway!

For Sale Assets from the former BMV LAKSEVÄG YARD in Bergen, Norway! The entire shipbuilding and fabricating facility is closing and more than 500 lots is on sale.

Servogear CPP for Seasight II - Future of the Fjords

We are proud to announce that Servogear has been chosen for the delivery of Servogear...

TechnipFMC Signs Agreement with Pall to Supply Slurry Oil Filtration Systems for Fluid Catalytic Cracking Units

The associated activities will be managed by TechnipFMC Process Technology’s center in Houston,