"It is unfortunate that the strike is affecting employees who are not part of the industrial action. More than 400 people have now been furloughed, and it remains uncertain whether all of them will qualify for unemployment benefits from NAV due to the SAFE strike. In our view, SAFE is showing little understanding of the consequences for employees and companies that are not involved in the dispute," says Elisabeth Brattebø Fenne, chief negotiator and director of labour relations at Offshore Norge.
Brattebø Fenne points out that these employees have an average annual salary of close to NOK 1 million.
Serious Consequences
The strike is causing significant consequences for the companies involved:
- A substantial share of drilling operations has been affected, resulting in delays, reduced activity, and planned shutdowns at several locations.
- Five mobile drilling rigs, five fixed installations and one well intervention vessel have completely suspended drilling and well operations.
- Four IMR vessels engaged in inspection, maintenance and repair activities have also been affected.
The strike is also affecting the operators. Production losses are increasing and are expected to reach around 120,000 barrels of oil equivalent per day by the end of week 30.
The strike has already resulted in a combined historical and future production loss for operators of 2.4 million barrels of oil equivalent this year, corresponding to an estimated value of approximately NOK 1.6 billion.
Contrary to the principles of the collective bargaining system
Offshore Norge believes that SAFE is attempting to bring local issues into the central collective bargaining process. This runs counter to the fundamental principle that central negotiations must be completed before local matters are addressed at company level.
"SAFE is effectively seeking to introduce a local right to strike. That threatens the balance of the entire collective bargaining system, not just in this particular dispute," says Brattebø Fenne.
