The Offshore Contractors Association has warned that a strike among North Sea oil workers "could cause significant, irreparable damage to the North Sea industry".

Bill Murray, chief executive of the Offshore Contractors Association, spoke up after further talks with Unite over jobs, pay and working hours broke down.

"We believe our offer was fair given the present economic challenges and the need for industry to find efficiencies. At every juncture industry has sought to share responsibility for reaching a viable solution with the workforce," Murray said.

"We proposed a pay freeze at a time when UK inflation sits at 0% and we offered a better deal on sick pay and holiday pay; a package worth up to £7,000 per annum extra per individual when taking into account rota changes.

"While we support the move by some operators to equal time rotas as an important way of increasing efficiency, our offer also guaranteed that no offshore trip would be more than three weeks in duration and committed our members to carrying out meaningful consultation and comprehensive risk assessment before changing any rota patterns in future," Murray went on.

"Strike action could cause significant, irreparable damage to the North Sea industry sending a clear signal to investors that the basin is a high risk investment and threatening future jobs. We encourage all Unite members who are eligible to vote to do so – with no turnout restrictions in industrial ballots it is important that all voices are heard."

Unite voted against accepting the package by a margin of 63.5 per cent to 36.5 per cent in late July. The two organisations went back to the negotiating table in an attempt to avoid further strike action, but were unable to agree new terms.

"The OCA have now advised Unite that they are unable to offer further improvements to the offer confirmed in their letter of 19 June 2015," a Unite newsletter following the talks said.

"The OCA have reiterated they value the Agreement and the stability it has enabled over the past 16 years and that they are available for further dialogue.

"However, given the indication they are not prepared to change their views, our commitment to our membership is clear. We will now begin the preparations for a lawful industrial action ballot for Unite members working within the OCA," the newsletter said.

Deirdre Michie, Oil & Gas UK's chief executive, said in a statement on Thursday, "We urge all stakeholders in this great UK industry - companies, unions and employees alike – to reject conflict and work together to avoid industrial action which would only serve to further undermine the sector's future in terms of jobs, investment, innovation and energy security for the long-term."

This comes as oil prices hit a six-year low. Brent and US crude futures fell below $45 and $40 per barrel respectively as investors react to China's faltering stock market.

Source: www.relocatemagazine.com

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