Concerns are being raised surrounding a proposed enterprise agreement at Glencore's Mangoola coal mine in the Hunter.
According to the Mining and Energy Union (MEU), the agreement is said to introduce tiered pay structures, cut contractor earnings and embed a cheaper workforce, with contractor earnings estimated to fall by around $36000 as a result.
The MEU's Northern Mining and NSW District president Robin Williams said the agreement is concerning for local workers.
"In effect, they're putting in place an agreement that will reduce the rate of contractors by 10 or 20 percent," he said.
"It's really an introduction of a tiered wage system to reduce the current rate, and then they can use that rate as a comparative for contractors."
It follows a Fair Work Commission order given to the mine's labour-hire workers which lifted their pay to replicate that of permanent workers.
Now, Mr Williams said the mine is taking a step backwards.
"They can't just move to different industries," he said.
"Those employees would have to accept those lower rates and continue to work for these contractors."
Workers at the Mangoola coal mine are set to vote on the agreement from 31 March to 1 April.
However, despite being the main subject to the changes, contract workers won't have the ability to vote.
Picture: Mangoola Open Cut Coal Mine
