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Photo: Norwegian Oil and Gas

Negotiating oil service pay deal

Talks have begun on revising the collective pay agreements for personnel in Norway’s oil service sector. Some 5 000 employees are organised in the unions concerned.

Scheduled for 14-15 May, these negotiations have the Norwegian Oil and Gas Association on one side of the table, while the Norwegian Union of Industry and Energy Workers (Industry Energy) and the Norwegian Union of Energy Workers (Safe) are on the other.

The oil service agreement is being negotiated with Industry Energy, while the talks with Safe concern the well service agreement. These settlements have identical texts.

This year’s negotiations cover an intermediate settlement to regulate pay rates. The Confederation of Norwegian Enterprise (NHO) and the Norwegian Confederation of Trade Unions (LO)/Confederation of Vocational Unions (YS) reached a central agreement earlier in the year.

This provides for a pay increase of NOK 2.50 per hour and a supplement of NOK 2.00 per hour for lower-paid workers. At the same time, an estimated framework of 3.2 per cent was set for this year’s pay settlement.

“Our industry has been through some tough years,” says lead negotiator Jan Hodneland at Norwegian Oil and Gas. “Although we see an improvement in competitiveness, the oil and gas sector still faces many challenges – particularly for the suppliers.”

   “The latter are experiencing significant pressure on margins, and the amount of further stress these can take is limited. So it’s very important that we secure a settlement which strengthens their competitiveness.”


Oil service settlement in brief
Just over 5 000 employees in various oil service companies (who deliver to the oil companies) are covered by the oil and well service agreements.

These involve the following companies: KCA Deutag Drilling Norge, Altus Intervention, Aker Solutions AS Subsea Ågotnes, Baker Hughes Norge, Halliburton, Oceaneering, Schlumberger Norge, Subsea 7 Norway, Weatherford Norge, Vetco Gray Scandinavia, Benor, Cameron Norge, Enhanced Drilling, Expro Norway, Falck Nutec, Franks International, Speedcast Norway, Intertek Westlab, IOS Tubular Management, Landmark Graphics, NUI AS, Nosefo Tau, Nosefo Bergen, Oceaneering Asset Integrity, Petrotech, PSW Technology, Altus Intervention Technologies, Ramco Norway, ResQ, TWMA Norge, Weatherford Laboratories and Welltec.

Further information from:
Kolbjørn Andreassen, information manager, Norwegian Oil and Gas, mobile +47 952 82 808