More strikes possible at Western Australia iron ore operations: union official

More strikes could hit Western Australia's iron ore operations in the coming year after workers walked off the job July 16 at BHP Group's Port Hedland bulk export terminal, according to Adam Woodage, state secretary of the Electrical Trades Union's Western Australia branch.

BHP has a bargaining meeting with union representatives for its port operations on July 21 after 63 port workers stopped work for eight hours July 16 over pay conditions, according to a July 19 statement from the miner to Platts, part of S&P Global Energy.

The July 21 meeting with representatives from the Electrical Trades Union, the Australian Manufacturing Workers Union and the Australian Workers' Union -- which represent workers across BHP's port operations and maintenance workforce -- will involve the Fair Work Commission as an independent facilitator. BHP will have a separate meeting with high voltage workers July 23, the company said in the statement.

Depending on the outcome of those July 21 and July 23 meetings, ETU's members may instruct the union that "they wish to participate in more strike action, and we will talk that through with members," Woodage told media in Perth on July 17.

When asked July 17 whether further industrial action could be taken with any other iron ore miner in Western Australia in the next 12 months, Woodage said: "We could be, and I'm not going to rule [it] out. We could certainly be there in the next 12 months."

Electricians call the ETU from time to time to represent them on a range of issues from unfair dismissals and disciplinary hearings to unfair wages, Woodage said.

However, strike action is not currently being considered outside BHP "because the ability to take action is a rigorous process through the Fair Work Act ... [and] we're not at that process with any other miner in the Pilbara," Woodage said.

New workplace agreements

BHP is proposing to cover about 450 employees under a port operations agreement, following the commencement of bargaining in October 2025.

For the July 21 and July 23 meetings, BHP's focus "remains on making constructive progress towards fair and reasonable agreements," the company said.

"We are committed to continuing to bargain in good faith on new workplace agreements across our iron ore operations and believe that the involvement of the independent Fair Work Commission is the most constructive way to achieve the best outcome," BHP said.

Internationally significant

Woodage called the July 16 strike a "success" despite 63 workers striking after initially saying July 8 that "anywhere from about 160 to 200" would take industrial action.

"We had every electrician that worked for BHP walk off the job" on July 16, while other trades like boiler makers, fitters, operators and others were also involved, Woodage said.

Aaron Morey, CEO of the Chamber of Minerals and Energy of Western Australia, told Perth media July 17 that "irrespective of the number of people who got involved, you cannot deny that this has an impact on productivity, and nothing is more important when it comes to wages."

"This was an internationally significant event. Investors were watching. Productivity was impacted ... If we continue to challenge productivity in this way, it's going to be harder and harder to achieve the wage increases that workers deserve," Morey said.

The ETU had met with BHP's "heavy investors" who had asked the union about the financial impact of their wage demands, according to Woodage.

The union official said it would cost BHP 9 Australian cents per metric ton of iron ore production to issue a A$25,000 per year pay increase to all 450 workers at the Port Hedland facility, according to the ETU's calculations. BHP would not comment on this estimate.

Woodage said the planned maintenance due on BHP's car dumper No. 1 was delayed due to staff availability from the strike, but BHP said this was incorrect.

The operations of BHP's car dumper No. 3 were also affected by the strike, as was the company's ship loader number two, according to Woodage. BHP did not comment on car dumper No. 3.

However, BHP said that of the seven ships that were being loaded on July 16, including during the strike period, one of them -- the Iron Southern Cross -- left early on the morning of July 17 as scheduled.

Disputed disruptions

Longer-term industrial action could cost Australia billions of dollars in export revenue, Tania Constable, CEO of the Minerals Council of Australia, told 6PR Perth radio July 16.

"We've done some statistics over a period and ... a strike of around about six weeks [will be] costing about A$9 billion in lost [iron ore] export revenue," Constable said.

This equates to about A$500 million in lost royalties for Western Australia as the money goes towards government spending on hospitals and schools, Constable said.

"Everybody should be worried about it. We need to bring the tension right down and make sure that we don't see this sort of action occurring. It's not necessary. It sends the wrong message to everyone across Australia about the damage that can be done to the iron ore industry," Constable said.