Workers Strike at South32 Worsley Alumina Ahead of Alcoa Takeover

Worsley Alumina Strike Hits Operations Ahead of Alcoa Buyout

“They deserve to be paid the same money, doing the same job at the same end of town,” AMWU WA secretary Steve McCartney said as maintenance staff downed tools at the Worsley Alumina refinery.

More than 100 maintenance staff at the South32 refinery, located 200 kilometres south of Perth, walked off the job on Tuesday morning. abc.net.au reported that the industrial action coincides with a multi-billion-dollar takeover by US miner Alcoa.

The 48-hour protected stoppage lines up with a planned shutdown at the main processing plant that refines raw bauxite into alumina. The SMH.com.au and The Age reported that union members from the Electrical Trades Union and the Australian Manufacturing Workers’ Union are pushing to finalise a renewed enterprise bargaining agreement before ownership changes hands in the first half of 2027.

Union Demands Focus on Discretionary Bonus Security

The core dispute centers on a widening gap in working conditions between South32 employees and peers doing similar work at Alcoa. Union representatives told abc.net.au that South32 has remained uncommunicative since workers rejected its latest offer in an overwhelming “no” vote.

AMWU WA secretary Steve McCartney told SMH.com.au and The Age that while proposed base wage increases are considered reasonable, the major sticking point involves short-term incentive payments. According to SMH.com.au and The Age, workers received an average bonus of 10 per cent over the past five years, and unions want that payment guaranteed in the enterprise agreement.

“You can’t tell workers their remuneration is competitive because of their bonuses, then expect them to accept an agreement that doesn’t guarantee them,” McCartney said in reporting by SMH.com.au and The Age. Workers also voiced concerns that the potential loss of discretionary bonuses following the Alcoa takeover could cost them up to 10 per cent of their wages.

South32 Responds to Industrial Action and Alcoa Merger Plans

ETU WA secretary Adam Woodage criticized the disparity in working time for people performing comparable work across different operations.

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A South32 spokesperson told abc.net.au that the company continues engaging constructively with staff and emphasized that a range of worker benefits exists beyond base pay. The company noted that the existing short-term benefit policy will continue under Alcoa’s ownership, a detail already communicated to staff and unions.

“We want to find ways to address issues they may have while ensuring our operation remains sustainable,” a South32 spokesperson told abc.net.au. The company says it will keep operating plans in place to assist the Boddington-area facility while it is shut down and predicts no disruption to current production.

Frequently Asked Questions About the Worsley Alumina Dispute

When is the Alcoa acquisition of Worsley Alumina scheduled to finalise?

The more than $8 billion deal announced in July is expected to be finalised in the first half of 2027, according to reporting by abc.net.au, SMH.com.au, and The Age.

How many workers participated in the initial stoppage?

More than 100 workers from the refinery joined the picket line along the entrance road on Tuesday morning, as reported by abc.net.au.

What specific assets is Alcoa acquiring in the deal?

According to SMH.com.au and The Age, Alcoa is acquiring South32’s 86 per cent interest in Worsley Alumina, full ownership of Hillside Aluminium, a 33 per cent stake in the MRN bauxite mine, a 36 per cent share of the Brazil Alumina refinery, and a 40 per cent share of the Brazil Aluminium smelter.