Oil Workers Threat to Go on Strike at Statoil ASA and BP Plc's Fields-Reuters

Reuters reported that oil workers in Norway resume wage talks on June 22, 2012, threatening to go on strike within days, at Statoil ASA and BP Plc's fields, if firms fail to improve their pay offer and tackle a sensitive pension issue. Unions are demanding wage increases, better overtime pay and the right to retire at 62 for the sector's 7,000 workers, but the Norwegian Oil Industry Association (OLF) said pensions will not be on the table during the talks. A strike would initially affect just a handful of projects, gradually ramping up overtime. Unions said they would initially strike at two Statoil ASA's operated fields, Heidrun and Oseberg, accounting for approximately 9% of oil production, or 150,000 barrels of oil per day, and 4% of total gas output. They would also target BP Plc's Skarv field, which has not started producing. It total, about 700 workers are planning to go on strike initially, about a tenth of the total workforce, with possible gradual increase later. Oil firms have the option of declaring a lockout for all workers involved in the talks, threatening a complete shutdown of Norwegian oil and gas production.