Baker Hughes has strongly denied claims that hundreds of workers across Aberdeen and Montrose have been told to accept a pay cut or lose their jobs.
Unite the Union issued a statement on Friday saying workers have been issued a “fire and re-hire” ultimatum, corroborated by an HR email saying workers “who do not consent to the changes voluntarily may be dismissed and offered re-engagement”.
Aberdeen and Montrose sites affected
The trade union said some 400 workers across two sites in Montrose and two in Aberdeen’s Altens and Bridge of Don are affected.
But the oilfield services giant has said its consultation “is not suggesting redundancies or headcount reductions”.
Unite said on Friday that workers had been given “five minutes” before being issued with redundancy papers, before being told to sign up to new terms.
However Baker Hughes said no one has been dealt redundancy notices.
It confirmed that a consultation has been opened on reducing the percentage uplift on certain shifts, which does not have an impact on base salary .
The firm insisted “we are not proposing redundancies as part of this consultation”.
Despite the two sides contradicting each other, what is clear is that a ballot on industrial action will take place for the two Montrose sites, after a recent consultative ballot returned 93.1% in favour.
It is unclear at this stage whether action will be taken in Aberdeen.
Baker Hughes confirmed Unite’s claims that the company has not been recognising the union in negotiations, instead engaging “elected employee representatives” in talks.
BH not ‘recognising’ union
A spokesperson for the company said: “Unfortunately, Baker Hughes has been affected by lower subsea contract activity and an increase in project deferrals, and we are having to respond to the economic impact of this reality.
“To clarify, the consultation that is currently underway is not suggesting redundancies or headcount reductions.
“It is also not suggesting any reduction in basic hourly pay or any reduction in any overtime rates.
“What this consultation is looking at is reducing but not eliminating the uplift in pay associated with shift work for one shift pattern.
“Baker Hughes is following due legal process to manage this proposed change and seek potential alternatives, through collective consultation with elected employee representatives.
“To clarify, employees would still get shift allowance and paid overtime at an increased rate to their regular hours.”
The firm said the goal is to protect Scottish jobs at its sites and “we are not proposing redundancies as a part of this consultation”.
Union claims ‘adamant’
However Unite the Union was adamant on Friday that 400 workers have been told to accept the terms of face losing their jobs.
Unite said the changes from Baker Hughes would see 29% wiped off overall take-home pay; the equivalent to a £10,500 drop in annual income.
The trade union said the move amounts to a “shameless case of runaway boardroom greed”.
General Secretary Sharon Graham said: “Oil and gas businesses like Baker Hughes are making more money than they know what to do with at the moment – there is no need whatsoever to lay waste to the jobs and incomes of this Scottish community.
“Baker Hughes’ callous conduct is another shameless case of runaway boardroom greed.
“They should withdraw these plans immediately or face industrial action. Workers at the sites are now joining Unite in numbers because they know that this union will deploy every tool at our disposal to see off this abhorrent fire and rehire destruction. We will defend these jobs and pay.”
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