April 12, 2019 / 9:31 AM / 2 months ago

UPDATE 1-Strikes cut production at Shell Pernis to 65 pct -Dutch union

(Adds more detail)

AMSTERDAM, April 12 (Reuters) - Strikes have limited production at Shell’s 400,000 barrel per day Dutch oil refinery in Pernis to 65 percent since Tuesday, and are expected to keep it at that level at least until Monday, union FNV said on Friday.

So far, Shell has made no proposal to settle a dispute over wage increases which have led to work stoppages at Europe’s largest refinery and its Moerdijk chemical plants in the Netherlands since Monday, FNV spokesman Egbert Schellenberg said.

Workers are demanding an immediate pay rise of 5 percent, while Shell has offered an increase of 4.5 percent spread out over two years.

Schellenberg said several hundred employees of the total 1,500 working in production at Pernis in the Rotterdam area have joined the strike.

Shell on Wednesday denied the union’s claim of having limited production to 65 percent, as that would mean they would have to shut down units of the refinery, which had not happened at that time.

A spokeswoman for Shell had no indication of the strike’s impact on production on Friday morning.

Data from industry monitor Genscape showed no evidence of a refinery outage as of Friday morning.

Production at Shell’s chemical plant in Moerdijk is not impacted, but strike action will prevent planned maintenance at the facility due to start on Monday, Schellenberg said. (Reporting by Bart Meijer and Ahmad Ghaddar Editing by Keith Weir)

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