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Viva Geelong Fire: 1,100 Workers' Stand-Down Pay Rights (April 2026)

|6 min read

Viva Energy's Geelong refinery caught fire late 15 April 2026. If you're one of the 1,100 staff stood down, Fair Work Act s524 only lets employers stop pay in narrow circumstances. Here's what you can claim.

TK

Tom Kirkwood

Small Business & Finance Writer · Former Small Business Owner, Cert IV in Small Business Management

What happened at the Viva Energy Geelong refinery?

A large fire broke out at Viva Energy's Geelong oil refinery at Corio, just north of Geelong, at approximately 11pm on Tuesday 15 April 2026. Victoria Police and Fire Rescue Victoria responded to reports of a structural fire following what Viva Energy described as a power fault that triggered a major flare.

As at the morning of 16 April 2026, the blaze was not yet fully under control, but Viva Energy confirmed all staff on-site had been accounted for. A "watch and act" warning for the greater Geelong area was downgraded to advice level overnight, allowing residents to continue as normal while monitoring air quality. Thick black smoke was visible from across Port Phillip Bay.

The Geelong refinery is one of only two operating oil refineries left in Australia (the other being Ampol's Lytton plant in Brisbane). It processes around 120,000 barrels per day, supplies more than 50% of Victoria's transport fuel and about 10% of Australia's total fuel demand, and directly employs over 1,100 workers.

This post is not about the cause of the fire — that's a job for WorkSafe Victoria, the AFP and the insurers. It's about what workers can actually claim, right now, if the fire disrupts their shifts, their pay, or their commute. Figures and thresholds below are sourced from the Fair Work Act 2009 (Cth), Fair Work Ombudsman guidance, and Viva Energy's own public statements.

Can Viva Energy stand you down without pay?

This is the question on every refinery worker's mind today. The short answer is: only in narrow circumstances, and the bar is higher than most employers assume.

Under section 524 of the Fair Work Act 2009, an employer can stand an employee down without pay if the employee cannot be usefully employed because of:

  • Industrial action (not relevant here)
  • A breakdown of machinery or equipment for which the employer is not responsible
  • A stoppage of work for any cause for which the employer cannot reasonably be held responsible

A refinery fire caused by a power fault may fall within (b) or (c) — but "may" is the key word. The Fair Work Commission has consistently held that stand-down is a last resort, not a first move. Before stopping your pay, Viva Energy has to show:

  • There is genuinely no useful work you can perform (including remote work, training, maintenance, or redeployment to the Newport terminal or other Viva sites)
  • The stoppage is not something the employer could reasonably have avoided (the fire's cause will matter here — if WorkSafe finds preventable safety failings, s524 may not apply)
  • The stand-down only lasts as long as the stoppage genuinely prevents useful work

Even during a lawful stand-down, you still accrue annual leave and personal leave, and public holidays falling within the period must be paid. You also keep your right to take paid leave you've already accrued — your employer cannot refuse a properly requested annual leave day during a stand-down.

If you think the stand-down is unlawful — for example, because there is alternative work you could do, or because the fire was preventable — you can dispute it through the Fair Work Commission. You don't need to wait until the dispute is resolved to be paid back-pay if you win.

What about contractors and labour-hire workers on site?

Roughly a third of any major refinery's workforce is contractors — maintenance crews, scaffolders, electricians, cleaners, security. If you're a labour-hire worker deployed to Viva Geelong and the site is closed, your rights are different from direct Viva employees.

You are employed by the labour-hire company, not Viva. That means:

  • Your labour-hire employer is responsible for paying you under the Fair Work Act and your applicable award (commonly the Manufacturing and Associated Industries Award, Plumbing and Fire Sprinklers Award, or Electrical, Electronic and Communications Contracting Award).
  • The labour-hire employer can attempt to stand you down under s524 — but only if they cannot usefully employ you, not just because Viva cannot. If the agency has other client sites where you could be deployed, stand-down is likely not lawful.
  • If you're on a registered enterprise agreement, check the stand-down clauses — many EAs are more generous than the Act's default position.

Casual workers on daily hire at the site are in the weakest position: no hours, no pay, no notice required. But if you've been engaged on a regular and systematic basis for 12+ months, you may have a casual conversion right under the Fair Work Act amendments that commenced August 2024 — worth checking before you accept being sent home indefinitely.

Fuel supply impact: what happens to petrol prices and other workers?

Australia holds only around 36 days of fuel supply in reserve — well below the 90-day International Energy Agency recommendation. Geelong produces roughly 10% of national fuel; a prolonged outage cannot be absorbed without imports from Singapore, South Korea and Japan topping up the gap.

What that means for workers in practical terms:

  • Pump prices will move. Unleaded 91 was sitting at around $2.19/L nationally before the fire. Short outages typically add 10–25 cents/L within 7–14 days as retailers adjust for higher wholesale (Terminal Gate) prices.
  • Commercial customers feel it first. Transport operators, couriers, tradies and rideshare drivers are all exposed. If you're an employee driver and your award or EA includes a fuel or vehicle allowance, check it's being indexed correctly — these allowances often reference ATO rates (currently 88c/km for 2025-26 under the cents-per-kilometre method) or CPI, and employers sometimes lag behind.
  • Regional workers bear the brunt. Supply chains to country Victoria, Tasmania and South Australia run through Geelong. Expect bigger regional price spikes than metropolitan ones.

If fuel prices jump meaningfully, our fuel crisis workplace rights guide covers what you can claim — from flexible work requests under Fair Work Act s65 to award-based vehicle allowances.

Can I ask to work from home until fuel prices settle?

Yes — and today is a reasonable day to put the request in writing.

Under section 65 of the Fair Work Act, eligible employees have the right to request flexible working arrangements. Eligible categories include parents or carers of school-age or younger children, carers under the Carer Recognition Act, workers with a disability, workers aged 55 or older, and anyone experiencing family or domestic violence. Your employer must respond in writing within 21 days and can only refuse on reasonable business grounds.

Even if you don't fit a s65 category, you can make an informal request. The fire, the resulting fuel supply uncertainty, and the air-quality advice for greater Geelong are all legitimate reasons to table one now. Put it in writing, propose specific days (e.g. "WFH Wednesday and Friday until fuel supply stabilises"), and include the cost you'll save your employer on travel allowances if any.

If you live or work within the smoke-affected zone north of Geelong, there's also a work health and safety dimension. Under the Victorian OHS Act, your employer must provide a workplace that is safe so far as is reasonably practicable. Poor outdoor air quality is a known hazard — if outdoor work is unsafe, your employer must either modify the work, provide respiratory protection, or allow you to work from a safe location.

Immediate steps for Viva Geelong employees today

If you work at the refinery, here's a clean checklist for the next 72 hours:

  1. Confirm your employment status in writing. Don't rely on a verbal from your supervisor. Ask: am I being stood down under s524, am I on paid leave, am I being redeployed, or am I on pre-approved absence? Keep the email.
  2. Document everything. Every text, every call, every shift roster change. If a dispute goes to the Fair Work Commission, contemporaneous notes are worth more than memory.
  3. Check your EA. Viva Energy Geelong operations are covered by registered enterprise agreements with the AWU, ETU and AMWU. Stand-down clauses in EAs often override the Fair Work Act defaults — usually in workers' favour. Ask your union delegate for a copy if you don't have one.
  4. Use your accrued leave strategically. You can elect to take paid annual leave during a stand-down instead of going unpaid. Your employer generally cannot refuse. Personal/carer's leave is also available if the fire or smoke has affected you or a family member.
  5. Contact your union or the Fair Work Ombudsman early. Don't wait six weeks to find out you've been underpaid. AWU (0428 300 777), ETU (03 9192 1111) or the Fair Work Ombudsman on 13 13 94.

This is not legal advice — talk to your union or a workplace lawyer if you're unsure. But stand-down rights are one of the most misapplied sections of the Fair Work Act in Australia, and a clear paper trail is the single most useful thing you can do in the first week.

General information and estimates only — not legal, financial, or tax advice. Always verify with the Fair Work Ombudsman (13 13 94) or a qualified professional.

TK

About Tom Kirkwood

Tom ran a landscaping business in regional Victoria for eight years and dealt first-hand with Modern Award complexity, BAS lodgements, and employing casuals. He writes about small business compliance, employer obligations, and finance topics from a practical operator's perspective.

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