Norway Oil Drilling Workers agree wage agreement, averting a strike

Norwegian unions reached a wage agreement, which prevented a strike on floating offshore drilling rigs, which would have disrupted exploration. Unions and company representatives announced the agreement Friday evening.

The unions said 438 workers from three rigs would strike if talks did not succeed, but that no immediate disruption in oil and gas production is expected.

The Norwegian Shipowners' Association and Styrke, Safe and DSO unions have reached a wage agreement that covers more than 7,200 employees.

Within days, a strike could have spread beyond the three initial rigs and affected oil and gas production at a future date.

Styrke said that the wage agreement gave oil drilling workers a "significant pay increase".

Frode Afheim, Styrke leader, said in a press release that "we are very pleased with the settlement".

Norwegian Shipowners' Association confirmed that Safe and DSO were also involved in the agreement.

Directly employed by oil companies, including those directly involved in the production of oil and natural gas.

Separately agreed

A wage agreement was reached last month to prevent a strike.

In March, a broad group of workers in the onshore sector reached a wage agreement with their employers for a pay increase of 4.4% this year. However, other sectors may have different demands. (Reporting and editing by Terje Sollsvik, Leslie Adler, Diane Craft)

(source: Reuters)