BP Locks Out Whiting Refinery Workers Over Contract

DAVENPORT, FL (DTN) — BP locked out union workers at its 440,000 bbl Whiting, Indiana, refinery effective March 19 after contract negotiations with United Steelworkers Local 7-1 (USW Local 7-1) broke down, following the union’s earlier rejection of the company’s latest contract offer.  

On March 12, USW Local 7-1 said 94.1% of its membership voted and 98.3% of those voting rejected BP’s “last, best and final” offer.

BP said maintenance workers represented by the union should not report after March 17, while other represented workers were told to report as scheduled through March 18, according to a company statement released on Thursday (3/17).

However, media reports said workers began picketing after the lockout took effect.

BP’s Whiting refinery has roughly 440,000 bpd of capacity, making it the largest refinery in the U.S. Midwest. The plant produces transportation fuels including gasoline, diesel and jet fuel, and is a key supplier into Chicago and broader PADD 2 markets.

Any disruption tied to the labor dispute could affect Chicago ULSD and gasoline basis and the Group 3 supply balance. BP said it does not expect disruption to refinery operations or production.