• “We won’t accept employers robbing us of our pensions, which is why we are striking,” declared Industry Energy and SAFE shop stewards, Leif Sande (picture) and Hilde-Marit Rysst, in a joint statement.

    FOTO: Anders Minge

Norway oil workers strike, pensions could cost billions

Some 700 offshore personnel are now on strike for the right to retire at 62 in a move that may cost Norway several billion kroner.

The walkout over employers’ refusal to include the right for 62-year-olds to draw a full pension in this year’s wage negotiations started following a collapse in two-day talks at the state mediator, early Sunday morning.

On one side of the dispute over collective pensions sits Norway’s Union of Energy Workers (SAFE), Industry Energy (Industri Energi), the Organisation of Managers and Executives (Lederne). Employer’s organisation the Oil Industry Association (OLF) and the Confederation of Norwegian Enterprise (NHO) sit on the other.

“We won’t accept employers robbing us of our pensions, which is why we are striking,” declared Industry Energy and SAFE shop stewards, Leif Sande and Hilde-Marit Rysst, in a joint statement.

"Completely unreasonable pension demands"

The industrial action involves personnel at Statoil, BP, and ESS Support Services working on Skarv, the Oseberg Field Centre, Heidrun, and Oseberg’s “Floatel Superior”.

According to the OLF, production at Oseberg and Heidrun will have to cease, something that will take between four and five days to shut down, whilst Mid-Norway’s Tjeldbergodden industrial complex, supplied by Heidrun with gas feedstock, will have to shut down after one day.

Chief OLF negotiator Jan Hodneland lashed out at what he calls “completely unreasonable pension demands by the offshore unions clearly show that they’re placing themselves apart from other workers in Norway.”

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With an average annual wage of USD 175.000 (one million kroner), Norway’s oil employees now earn more than twice the world average, research shows.

“Oil company employees have an average annual income of NOK 1 million and a retirement age of 65,” he continued. “This already makes them Norway’s pension winners.”

Dear strike

Mr Hodneland believes the industrial action could be a dear one for Norway.

“The strike will cost roughly NOK 150 million per day (about USD 25.1 million), so it will not take long before the bill tops NOK 1 billion (roughly USD 167.7 million),” he concluded.

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