Glencore pushes Mangoola workers to vote on deal that would cut contractor pay by up to $36,000 a year

Workers at Glencore’s Mangoola coal mine in the Hunter Valley will vote from 31 March to 1 April on a hotly contested proposed enterprise agreement that would introduce tiered pay structures, cut contractor earnings and embed a cheaper workforce on site.

Labour-hire workers at Mangoola secured a Fair Work Commission order in 2025 lifting their pay to match permanent employees doing the same job. That pay is linked to the minimum rates in the site’s agreement.

If the agreement introduces lower pay tiers for those jobs, the protected rate moves with it. In other words, once a cheaper rate exists on paper, contractor pay can drop straight away.

Workers would still be doing the same work, just for less pay.

Mining and Energy Union Northern Mining and NSW Energy District President Robin Williams said contractor earnings could fall by $36,000 a year if the lower tiers were added to the agreement.

“Workers fought hard and stood together to win Same Job Same Pay at Mangoola,” Mr Williams said.

“For decades, labour-hire has been used across the mining industry to drive wages down and create a cheaper second-class workforce. Same Job Same Pay was meant to put an end to that practice.”

“This proposal risks taking the industry backwards by re-introducing lower pay for the same work through a new structure.”

He said contractors would be the first to feel the impact despite not having a vote on the agreement.

“They stand to lose income while having no say in the outcome,” Mr Williams said.

“But the consequences would not stop there. Once a lower rate exists on site, it becomes the reference point for new hires, and future agreements.”

“That is how wages get pushed down across an industry. Not overnight, but bit by bit.”

Mr Williams said workers were also concerned about Glencore’s refusal to strengthen redundancy protections, uncertainty around allowances not written into the agreement, and structural changes that could make permanent roles easier to replace over time.

He said approval of the deal at a major Hunter Valley operation could influence bargaining across the region.

“This vote is about protecting standards not just at Mangoola, but across the coal industry.”