After months of stalled contract negotiations, BP (British Petroleum) locked out over 800 United Steelworkers (USW) union workers from its Whiting, Indiana refinery at midnight on March 19. In response to the lockout, the workers initiated a picket outside of the Whiting refinery against BP.
BP’s lockout preempts a strike by forbidding USW workers from working at the refinery on BP’s terms. In contrast to a strike, during which workers halt production, the lockout allows BP to maintain control of the facility and continue operations.
The Whiting refinery, located in the Chicago metropolitan area, produces 440,000 barrels of oil a day. The refinery’s 800 workers produce strategic fuels for transportation, including gasoline, diesel, and jet fuel, as well as nearly 10% of the country’s asphalt.
According to Eric Shultz, president of USW Local 7-1, the workers’ main disagreements with BP were the oil monopoly’s “demand that we cut more than 100 jobs, accept pay cuts to nearly all positions, and give up our bargaining rights.”
BP claims that cuts are necessary due to a 20% drop in crude oil prices last year, which led to a drop from $8.9 billion in net profits in 2024 to $7.5 billion in 2025.
USW and BP were required to reach an agreement by March 13. When BP approached USW with its “last, best, and final offer” on March 12, workers voted nearly unanimously to reject the offer. BP then rejected a counteroffer by USW and served union members notice of a lockout on March 13.
Workers could have gone on strike much sooner. In February, 98% of the Whiting workers voted to authorize a strike after the previous contract expired on January 31. Despite this, USW leadership did not authorize a strike and instead agreed to rolling 24-hour contract-extension agreements. These rolling extensions undermined workers’ leverage and gave BP time to prepare a lockout.
The lockout threatens to further exacerbate the global oil crisis resulting from the US-Israeli war of aggression against Iran. US imperialism launched wars over the past few months in Latin America and the Middle East in part to secure its domination of the global oil supply. In retaliation and in defense of its sovereignty, Iran closed the Strait of Hormuz—through which 20% of the world’s crude oil passes through—and targeted critical energy infrastructure in the region tied to US monopoly interests, doubling the price per barrel of crude oil.
Image: Oil workers on a picket in front of the Whiting Refinery. Credit: USW Local 7-1 Facebook page.
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