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Nick Evans

Vote to unionise Rio Tinto’s Pilbara mines falls at first hurdle

Nick Evans
Rio Tinto iron ore chief executive Simon Trott in WA’s Pilbara region.
Rio Tinto iron ore chief executive Simon Trott in WA’s Pilbara region.
The Australian Business Network

For all of the scaremongering about the re-unionisation of the Pilbara’s iron ore industry, it appears that the Western Mine Workers Alliance has fallen at the first hurdle in its efforts to bring Rio Tinto mines back into the union fold.

The WMWA, a Pilbara coalition between the Mining and Energy Union and the Australian Workers Union, had been trying to collect enough signatures at Rio’s Paraburdoo operations to force a majority support determination in the Fair Work Commission that would require Rio to negotiate a collective agreement at the site.

But the WMWA told members on Wednesday that it had fallen just short despite receiving 450 signatures to its petition, according to its closed social media page. On WMWA’s reckoning that should have been a majority of the 800 non-management roles at the iron ore hub’s four mine sites.

But Rio told the FWC there were, in fact, 990 non-management jobs at Paraburdoo, leaving the unions about 100 signatures short of the total required.

Rio says there are 990 non-management jobs at Paraburdoo, which scuppered the union vote.
Rio says there are 990 non-management jobs at Paraburdoo, which scuppered the union vote.

The win for Rio will be a welcome relief to iron ore boss Simon Trott, who now won’t have to front the board to explain how he’d let the old enemy get a foothold back on the company’s most important division.

And the timing is particularly handy for Trott, who is vying for a shot at the mining giant’s top job as a replacement for Jakob Stausholm.

While WMWA told members it would be back to push for the 550 required, the result might also explain the sudden departure of inflammatory AWU organiser Paul Ferreira, one of the union spearheads over the last year.

Ferreira attracted complaints from BHP over his conduct during the campaign, and won notoriety for describing Prime Minister Anthony Albanese as “AlboNazi” in social media posts.

Travel backlash

More fun and games at Larry Kestelman’s National Basketball League, where discontent with some team owners keeps growing.

There’s the ongoing court action featuring the Illawarra Hawks and South East Melbourne Phoenix, owned respectively by American entrepreneurs Jared Novelly and Romie Chaudhari.

The duo are battling Kestelman and the league about several corporate governance issues.

We should point out Kestelman has denied or rejected just about all their arguments – one of which seems to be the increasingly controversial subject of travel bookings.

It was only a couple of months ago when Margin Call revealed an especially stormy phone hook-up between team owners and the league’s CEO, David Stevenson, who explained that a company named Performance Travel had been appointed the exclusive partner of the NBL.

Well it turned out that Performance Travel is actually half-owned by Kestelman, and that the founder of Performance Travel is Jack Taylor – who just happens to have been an NBL referee for several years.

National Basketball League owner Larry Kestelman is embroiled in a series of disagreements with club owners.
National Basketball League owner Larry Kestelman is embroiled in a series of disagreements with club owners.

This clearly did not thrill club owners – Perth Wildcats owner Mark Arena apparently went ballistic and then hung up the phone in disgust – who were then told it was all about achieving cost savings for all the parties involved.

There has been some fallout since, in correspondence we have obtained.

The NBL last month told the owners “communication in relation to (the) NBL travel agent partner could have been better handled” and that, in a twist, “the NBL does not mandate an exclusive travel partner”.

That certainly came as news to the clubs, with a letter from Illawarra Hawks owner Crest Sports (Novelly’s entity) doing the rounds on Wednesday particularly scathing.

Enclosing a recent email from the NBL informing the club that Performance Travel would be managing the Hawks’ upcoming travel to Singapore, Crest said: “NBLCO did not present any other alternative choices or options regarding management of the club’s upcoming travel other than Performance Travel.”

As for Kestelman’s ownership of the travel agency, Crest said: “NBLCO has not provided a substantive response to the requests for information.”

Crest was also unimpressed with Kestelman’s explanation that unbeknown to him, referee Taylor had made a comeback to referee NBL matches last year when he owned the travel agency.

“Please advise whether there are any other arrangements between Mr Kestelman and any current or former referees of the NBL,” Crest said.

“Given that NBLCO states that it is in the process of a ‘governance review’, NBLCO should readily have that information if it is conducting a thorough review process.”

Indeed.

Election fatigue?

It’s not even two months on since Anthony Albanese put Peter Dutton to the sword at the May federal election, but Labor’s fundraising machine is already cranking up preparations for next time around.

Strike while the iron is hot, we guess, and make hay while the sun still shines on a honeymoon period, we guess.

Albo will presumably outline his plans for his next term of government when he first fronts parliament on July 22.

And members of Labor’s Business Forum are being offered their own insight in Sydney the week after the fortnight’s sittings, at a dinner featuring both the Prime Minister and his new ministry on August 7.

Tickets are being offered at a bargain price of $2500 a head, or $18,000 for a table of eight – including the presence of a “VIP guest”. We’re guessing that means a random minister, or something similar.

That’s a solid discount from the $5000 and $10,000-a-head fundraising dinners were commanding during the heat of the campaign, mind you.

Even former assistant treasurer Stephen Jones – now retired from the political fray – attracted a $3000 asking price at one point.

Read related topics:Rio Tinto
Nick Evans
Nick EvansMargin Call Columnist and Resource Writer

Nick Evans has covered the Australian resources sector since the early days of the mining boom in the late 2000s. He joined The Australian’s business team from The West Australian newspaper’s Canberra bureau, where he covered the defence industry, foreign affairs and national security for two years. Prior to that Nick was The West’s chief mining reporter through the height of the boom and the slowdown that followed.

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Original URL: https://www.theaustralian.com.au/business/margin-call/vote-to-unionise-rio-tintos-pilbara-mines-falls-at-first-hurdle/news-story/425943d63749237dfc2092420ca88524