BHP Iron Ore Train: Strike Looms

Train drivers at BHP's Western Australian Iron Ore (WAIO) unit threaten to go on strike next week over pay and conditions. Members of
BHPImage Source: BHP

Train drivers at BHP's Western Australian Iron Ore (WAIO) unit threaten to go on strike next week over pay and conditions. Members of the Mining and Energy Union voted overwhelmingly in favor of industrial action if their demands are not met. The strike could potentially disrupt BHP's operations and long-term plans.


Train operators at the Western Australian Iron Ore (WAIO) unit of Australian resources firm BHP are on the brink of walking off the job. These workers are demanding better pay and conditions, and unless BHP takes action to address these issues, a strike could be inevitable.

Members of the Mining and Energy Union (MEU) voted 95% in favor of taking industrial action. They have been pressing BHP to offer better pay and improved working conditions at WAIO's rail operations in Pilbara. The union has given BHP until November 3 to come to the negotiating table; otherwise, the strike could commence as early as November 10.

BHP remains hopeful that an amicable resolution can be reached without resorting to a strike. A spokesperson for the company stated that discussions are ongoing with the union to finalize a new agreement. Further meetings are slated for this week to hopefully prevent any disruptions in operations.

This looming industrial action comes at a challenging time for BHP. The company is in the midst of a rail maintenance program aimed at increasing production for January to June 2024. The July to September quarter was sluggish for the firm, marked by a build-up of unprocessed ore stockpiles at mine sites.

Earlier this month, BHP maintained its guidance for the 2023-2024 fiscal year ending June 30. The company expects to produce between 282 million and 294 million metric tons of iron ore. This projection comes despite operating closer to 278 million metric tons per year during the last quarter.

The strike action, if it occurs, could have broader ramifications beyond BHP. It could affect global iron ore markets, particularly if it disrupts the firm's plans to ramp up production. A prolonged strike might lead to supply shortages, affecting industries reliant on iron ore.


The potential strike by train drivers at BHP's WAIO unit underlines the ongoing tensions between labor and management in the resource sector. Both sides have limited time to negotiate a deal that could prevent a strike and the accompanying disruptions. The coming days will be crucial in determining the trajectory of this situation and its impact on BHP and the broader iron ore market.

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