AGL response to proposed industrial action at Loy Yang

AGL Energy Limited (AGL) today announced its intention to take employer response action as permitted by the Fair Work Act, in response to proposed industrial action by the Victorian branch of the Electrical Trades Union (ETU), registered as the Communications, Electrical, Electronic, Energy, Postal, Plumbing and Allied Services Union of Australia (CEPU).

AGL Loy Yang received notice yesterday from the ETU that protected action involving an indefinite number of consecutive stoppages on the performance of all work will commence at 12am Monday 15 May 2017.

AGL Loy Yang General Manager, Steve Rieniets, said: “The proposed industrial action would compromise the safe operations of the plant and would ultimately put Victoria’s power generation at risk.

“AGL will today inform workers at the Loy Yang A power station and mine of its intention to lock out workers from the site commencing Monday 15 May. We have no other option to resolve the bargaining dispute other than implementing this lock out.

“Our priority must always be the safety of our employees, our operations and the community. As a consequence of the proposed action, AGL Loy Yang will not be able to continue operations. This will require both the Loy Yang A power station and the mine be shut down.

“We need to lock out the entire site simultaneously with the industrial action, this will allow us to shut down the station in a systematic way to protect equipment from being damaged.”

AGL has been bargaining for a new enterprise agreement at the Loy Yang site for nearly two years. In this time, AGL Loy Yang employees have twice rejected proposals which include wage increase offers of over 20 per cent over the next four years. 

About AGL

AGL is one of Australia’s leading integrated energy companies. It is taking action to responsibly reduce its greenhouse gas emissions while providing secure and affordable energy to its customers. Drawing on 180 years of experience, AGL serves its customers throughout eastern Australia with meeting their energy requirements, including gas, electricity, solar PV and related products and services. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, solar, landfill gas and biomass.