SPARKS are flying at Tarong Power Station.
The Electrical Trades Union has accused Stanwell Corporation of breaching employment contracts.
The union believes the power station's management is breaching the Enterprise Agreement with its plans of replacing permanent workers with contractors.
ETU state organiser Jason Young said Stanwell had conducted itself in "bad faith".
"It is increasingly clear that Tarong intends to make part of its permanent workforce redundant whilst contractors will continue unabated," Mr Young said.
"It was in the Enterprise Agreement that they could use contractors, but not to the detriment of permanent workers, and they are clearly in breach of that.
"This is unacceptable and our members are angry about this development."
But Stanwell Corporation's corporate stakeholder advisor Paul Childs said all decisions would be consulted with employees.
"Stanwell has been consulting with employees and unions about its decision to change the workforce plan at Tarong Power Station," he said.
"This has included multiple briefings with employees from Tarong's power stations, state union officials and local delegates."
Due to the recent decision to shut down two units, Mr Childs said a reduction in staff, both permanent and contracted, was necessary.
But he said that any gaps in the workforce would require the use of contractors.
"Contractors will continue to be used to overcome temporary labour shortages, undertake one-off major works and deliver projects," Mr Childs said.
"Stanwell will continue to use existing contractors for facilities-maintenance activities such as bus services, security, plant cleaning, fire systems and canteen.
"Placing two units in cold storage is expected to have only minimal impact on these contracts."
The accusations of the workers' Enterprise Agreement being breached follow Stanwell Corporation's decision two weeks ago to shut two of its two operating units at Tarong Power Station site resulting in 64 redundancies.
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