EXCLUSIVE: AWU slams Inpex’s processes in cutting 65 jobs from Ichthys LNG workforce

MAJOR oil and gas company Inpex is set to axe an estimated 65 jobs across its Australian workforce, including in the NT, with a union slamming the company’s redundancy process as “deeply concerning” and showing “complete disregard” for workers.

MAJOR oil and gas company Inpex is set to axe an estimated 65 jobs across its Australian workforce, including in the NT, with a union slamming the company’s redundancy process as “deeply concerning” and showing “complete disregard” for workers.

Inpex confirmed it will slash various jobs from its Ichthys LNG onshore plant in Darwin and its offshore facilities located in the Timor Sea 220km from Western Australian and 820km from Darwin.

The Japanese giant is blaming “the low oil price environment” for accelerating a review into its operations division.

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The 100th shipment of liquefied natural gas (LNG) from Inpex in 2019 cuts an imposing sight in Darwin Harbour as it is given a grand welcome and send-off. Picture: Supplied

The Australian Workers’ Union said there would be 65 redundancies out of a 350-strong workforce, representing 18 per cent of staff.

But an Inpex spokesman, late on Wednesday evening said the “18 per cent” figure was “grossly overstated”.

The company has refused to reveal what the percentage is, how many jobs will be cut in Darwin specifically, or the size of its current workforce.

The AWU slammed the timing of the redundancies, which happens to coincide with enterprise bargaining negotiations.

It’s alleged Inpex has been “intent on maintaining as much control” of who is being made redundant, with the AWU describing this as an “incredibly callous act” in the middle of a pandemic.

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The cryogenic storage tanks at Inpex's Ichthys LNG Project at Bladin Point.

he union also has concerns about how Inpex is choosing who stays and who goes, claiming local workers were being let go first while “foreign workers are sitting pretty”.

“Inpex has demonstrated a complete disregard for how it treats its workers for years and this redundancy process is proving no different,” an AWU spokeswoman said.

“Any decent employer would be deadset on encouraging and accepting as many voluntary redundancies as possible to reduce the psychological impact on its workforce, but Inpex has not incentivised voluntary redundancy at all.

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“Inpex’s behaviour cements the need more than ever for an agreement that will provide Inpex workers with more job security and to ensure any redundancy process is done fairly and properly.”

A spokesman for Inpex said it intended to “safely operate” its Ichthys LNG facilities for the next 40 years or more.

Citing Australia as a “vital cornerstone” for its international growth, the spokesman said Inpex was committed to its future in the country.

Inpex’s $45bn Ichthys project was heralded in 2012 as the “making” of the Territory this century.

The plant has a capacity of 8.9 million tonnes a year and shipped its first LNG cargo in 2018, a year later than scheduled.

At its peak construction phase, there were more than 8000 workers on site each day.