Loy Yang negotiations continue to stall

The Fair Work Commission has rejected a second application for a protected action ballot for Loy Yang employees, calling the CFMEU “combative” in its negotiations.

On Friday Deputy President Clancy handed down a scathing 46-page decision, which said he was not satisfied the Construction, Forestry, Mining and Energy Union had been genuinely trying to reach agreement with operator AGL.

The protected action ballot order first rejected in May sought for Loy Yang A power station employees to vote to stop work between one and 24 hours and to ban the operation of power station units.

While acknowledging the union had pursued an agreement, Mr Clancy said the “tone adopted by the CFMEU in correspondence and other exchanges with AGL Loy YANG has tended not to have been conciliatory and has on occasion, been unhelpfully combative”.

CFMEU Victorian district mining and energy union secretary Geoff Dyke said the decision was outrageous and biased and intended to appeal the decision as early as next week.

He said he feared the decision could set a precedent for industrial relations across Australia, unfairly preventing workers from taking industrial action.

“Our hands are tied behind our back and there are threats to terminate the agreement. We’re unable to defend ourselves because of this decision,” Mr Dyke said.

The union and the brown coal power station operator began three days of negotiations on Monday in Melbourne before the Fair Work Commission to seek an outcome.

AGL Loy Yang general manager Steve Rieniets said the company was pleased with the result and encouraged the CFMEU to recognise the industry was changing and to cease pursuing further restrictive work practices.

“We urge them to commit to the conciliation process currently underway and to abandon industrial action that could risk Victoria’s energy supply,” Mr Rieniets said.

The decision is the latest development in a long running dispute between Loy Yang power station owners and the union.

AGL Loy Yang offered workers a pay rise of 21.5 per cent over four years, but 80 per cent of workers voted against the proposal with the union fearing it would put 40 jobs at risk.