Mining profits shored up amid COVID-19 pandemic

April 7, 2020
Issue 
Fly-in fly-out workers head out of Perth.

I asked my neighbour, a drive-in, drive-out (DIDO) coal mine worker, about her job amid the COVID-19 shutdown. 鈥淭hey won鈥檛 get rid of us: they need workers to make their profits grow,鈥 she replied.

My neighbour put her finger on the federal government鈥檚 COVID-19 approach. While jobs in hospitality, tourism and聽entertainment are not deemed 鈥渆ssential鈥, keeping the mining and resource sector making super profits is.

In addition, the fossil fuel industry, particularly the oil and gas sector, has been demanding federal financial relief and the dismantling of environmental protection measures.

reported on April 6 how, globally, fossil fuel corporations are using the coronavirus crisis to advance their narrow interests. The British-based think tank InfluenceMap provided many .

In Australia, the Australian Petroleum Production and Exploration Association (APPEA), the self-described 鈥渧oice of the oil and gas industry鈥 is pushing the federal government for 鈥溾 in the form of 鈥渄eferring costs and work program commitments linked to exploration licences as the industry confronts the challenges posed by the COVID-19 pandemic鈥.

The Liberal government of South Australia has come to the party with an immediate deferral of annual petroleum fees due in the next six months.

APPEA is also pushing for new regulations to govern the resource sector and has welcomed the Victorian Labor government鈥檚 decision to exploration.

The April 3 Australian Financial Review reported that Australia鈥檚 coal exports over the past 3 months were higher than the same period last year. The industry, which is highly mechanised in Australia, is seeking to get ahead of its overseas聽competitors by capitalising on the COVID-19 pandemic. The price of metallurgical聽and thermal coal is up, while costs of production are down.

The mining and resources conglomerates are also using the pandemic to reduce working聽conditions. They are planning for the post-pandemic recovery.

The April 3 Australian carried a leaked call by the mining lobby to drastically slash working conditions, declaring that a 鈥渢sunami of significant commercial impacts鈥 was about to hit the sector.

Australian Mines and Metals Association chief executive Steve Knott told federal Attorney-General Christian Porter that new awards and enterprise agreements should be suspended. He said awards and enterprise agreements are hampering business and that they should have the right to bypass the legal framework and reduce pay and conditions for a minimum of six months.

ACTU secretary Sally McManus said that any scrapping of workplace agreements would 鈥渘ormally be unacceptable, but making such an opportunistic grab on working people鈥檚 rights during this crisis ... is disgraceful鈥.

In Queensland and Western Australia, where border restrictions have been imposed, exemptions have been made for some fly-in fly-out (FIFO) mine workers.

Communities are concerned that interstate FIFO workers (and intra-state FIFO and DIDO workers) could spread the virus.

Along with the Construction Forestry Mining and Energy Union (CFMEU), communities want locals to replace FIFO workers. CFMEU聽Mining and Energy Queensland district pres颅i颅dent Stephen Smyth said mining companies should ur颅gently of颅fer affected workers appropriate housing near their work颅sites.

鈥淭he safety of workers and com颅mu颅ni颅ties must be the top priority,鈥 he said. 鈥淲e accept that limiting FIFO聽is a mea颅sure to protect safety in the cur颅rent circumstances.鈥

Moranbah GP Margaret Swenson told she had seen miner patients who are anxious that their workplace is not following physical distancing recommendations. Moranbah Hospital has just two ventilators, and Swenson said she is concerned local patients would be left behind if intensive care units in larger centres became overwhelmed. She said if companies insist on continuing at the same level of production, it could become dangerous.

More than 10,000 workers in the Isaac region鈥檚 26 active coal mines are transient, arriving by bus, plane or car. The local council wants workers to stop commuting, worried that the local healthcare system is not set up to cope with a COVID-19 outbreak.

In Western Australia, mining companies have given FIFO workers the option to relocate to the state with their families. CFMEU WA Mining and Energy secretary Greg Busson said mining companies are right to explore options, but workers should not be left out of pocket.

Busson said mining continues 鈥渢o support jobs and the economy鈥 and that 鈥渕oving to a local workforce model is a good way to reduce the risks to workers and mining communities鈥. However, he said 鈥渃ompanies must cover the costs of workers鈥 relocation and compensate them for the upheaval to their lives and families. Workers shouldn鈥檛 be paying the price for the mining industry to continue operating.鈥

The response of the mining unions stands in stark contrast to education unions 鈥 a truly essential industry 鈥 who have consistently called for schools to be closed.

Meanwhile, individual mine workers like my neighbour continue to express their concerns, privately, about management鈥檚 failure to provide safe workplaces by fully implementing protocols developed jointly with unions.

You need 91自拍论坛, and we need you!

91自拍论坛 is funded by contributions from readers and supporters. Help us reach our funding target.

Make a One-off Donation or choose from one of our Monthly Donation options.

Become a supporter to get the digital edition for $5 per month or the print edition for $10 per month. One-time payment options are available.

You can also call 1800 634 206 to make a donation or to become a supporter. Thank you.