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Griffin strike threat averted
Griffin strike threat averted

The long-lingering threat of strikes at the Griffin coal mine in Collie appears to have abated, at least temporarily, after the company claimed it had an in-principal pay agreement with the mining union.

If the 300 workers vote to accept the proposed deal at a ballot on June 14, they will get an additional 22.5 per cent over four years.

A spokesman for the company last night refused to reveal the conditions tied to the pay deal. "All parties entered into these negotiations in good faith," the spokesman said. "It was a thorough process and we believe it has resulted in a positive outcome for workers."

The mining union recently threatened a series of 12, 24 and 48-hour stoppages at the coal mine unless the miner met two key demands.

These demands were for the company to backdate pay rises for its 300 workers to September last year and to agree not to develop a workers' camp for the upcoming Muja South development.

Griffin Coal's general manager of employee and industrial relations, Chris Godfrey, told _WestBusiness _recently that stoppages would have "a real adverse impact on our ability to remain operational".

Mr Godfrey had warned that an extended strike could prevent the company from delivering coal to its customers.

Lanco Infratech bought Ric Stowe's debt-laden Griffin Coal empire for $750 million in late 2010, but has been struggling to bed down the purchase amid an ambitious debt-funded expansion program in India, as well as difficulties in reviving Mr Stowe's former Collie-based mine.

Stoppages can have a big impact on companies.

Recent reports on the east coast claim that the week-long strike at coal mines in Queensland by more than 3000 miners last month cost $114 million in lost production, $9.8 million in royalties and $6.5 million in wages.

The Construction, Forestry, Mining and Energy Union in WA could not be contacted last night.

We believe it has resulted in a positive outcome."

Griffin spokesman