BHP labour hire case: Mining and Energy Union same job, same pay claims could cost the mining giant $1.3 billion a year

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The wave of cases involving three mines in Queensland will be a key test of the Albanese government’s new laws on labour hire firms, and the mining giant says it could cost the company an extra $1.3 billion a year.

Already a subscriber?The mining union has launched its much-anticipated case against BHP’s labour hire firms, which the mining giant has predicted would cost it an extra $1.3 billion a year.

MEU Queensland president Mitch Hughes said it was important to address BHP’s “labour hire rort” given it was the biggest player in the coal industry.“BHP has driven the casual labour hire model that has spread like a cancer throughout coal mining, driving down wages and job security across the industry,” he said.

BHP chief financial officer David Lamont also said the $1.3 billion a year loss in earnings would “flow directly to dividends, we estimate that to be about 30¢ on a dividend payout”.The miner has argued its in-house labour hire subsidiary Operations Services provides competitive market rates and permanent job opportunities.

 

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