Atlantic LNG strike ends

THE TEN-WEEK strike at the Atlantic LNG (ALNG) Train IV construction site is over and the workers will be returning to their jobs next week. This was the announcement yesterday by Public Administration and Information Minister, Dr Lenny Saith, when he spoke with reporters during the tea break at the House of Represen-tatives. Dr Saith said: “For the last couple of weeks, I have been seeking to find a formula by which the parties could talk to each other and agree on a formula which would allow the workers to go back to work. It intensified this week. We met on Wednesday for about five hours, we met on Thursday for about five hours. We resumed today at about 11 am and after about three or four hours, and I am pleased to say that we have been able to find a formula that is acceptable to both sides, and the workers will be returning to work next week.”

Asked if this meant the workers would be back on the job from Monday, Dr Saith replied: “The agreement is that Monday, Bechtel (the project’s coordinating sub-contractor) will be calling in the principal contractors to work out a schedule for return to work. The workers’ representative has to inform the workers and hopefully that will take place over the weekend. It is my anticipation that this will happen after the meeting on Monday, during the course of the week. Everybody won’t walk in. They will have to reschedule the work. People will be coming back to work over the next week.” The Minister said both the company and the workers demonstrated “statesmanship and maturity in coming to this agreement.”

“I am satisfied that everybody made their best effort. I particularly want to compliment the workers who really were the people who were out there on the way that they conducted themselves and on the fact that we were able to have an agreement,” the Minister declared. Asked about the extent of compromise made by both sides, Saith replied: “There has to be (compromise). Obviously, in an agreement such as this, neither side gets all that it wants. In particular, I want to compliment the workers. For the whole period, including the last three days, the talks have been very cordial. People respected each other. Contributions have been very positive. It made my job very easy. It’s a good thing that people are going back out to work. It has been a long time for the workers. The country needs the plant to be built and it will be built.”

Meanwhile, in a statement yesterday, ALNG said an agreement was reached by all sides to accept an enhanced Bechtel Memorandum of Understanding which focuses on enhancements of benefits and fringe payments in addition to increases of base wage rates paid to all workers at the ALNG Train IV site. Non-unionised workers will receive increases in allowances and base wages of up to 22 percent and share in a $12.6 million on time/early completion bonus. Additionally, a four percent increase in base wage for the workers, which was due in July, has been brought forward “for immediate payment upon resumption of work” and the workers will receive another four percent increment in July 2005.

“The agreement covers the terms and conditions to the end of the project. Incremental labour costs as a result of the enhancements will amount to some $88 million. In addition to this, the delay has incurred another $190 million in standby costs. These costs will be borne by the project,” ALNG stated. ALNG chairman John Andrews de-clared: “We are happy for the return to work which will no doubt be a relief for the Point Fortin community which has borne the brunt of this. We commend those not directly involved for their patience and understanding and hope that there will be conciliation and healing on all parts as we move to regain steps lost. Atlantic has a great and well deserved record for project construction in the world LNG industry and the months ahead will present a challenge to maintain all of this. My hope is that we will be able to pull it off again.”

On Thursday, Prime Minister Patrick Manning said he paid a surprise visit to the workers’ camp in Point Fortin to tell them that their action was hurting the national interest and that they demonstrate compromise in this matter. Manning was optimistic that a resolution would be found and ALNG would still be able to meet its deadline to complete Train IV. The Prime Minister, who will open a hemispheric energy conference in Tobago on Monday, said he will reassure the United States representatives that TT remains a reliable LNG supplier and “they can continue to count on us in that regard.” TT’s LNG currently accounts for 68 percent of all LNG imported into the US.

One casualty of the ten-week strike was Point Fortin MP Larry Achong, who resigned last month as Labour Minister, after a divergence of views with the Cabinet over the strike and the implementation of a sectoral minimum wage. When Manning visited the strike camp on Wednesday, the two men appeared to have resolved their differences and he said implementation of a minumum sectoral wage (one of the PNM’s 2002 election campaign promises) remains “a very desirable goal” for the Government, but it had to be carefully thought out.