MUA action to begin on February 16 with four-hour stoppage at terminal
Victorian International Container Terminal (VICT) is warning of “serious” Maritime Union of Australia (MUA) industrial action at the Port of Melbourne next week.
In what is being cast as a battle between 21st century technology and working practices and 20th century industrial power plays, the struggle will start with in eight days, between 4pm and 8pm on the day.
As with the previous bout of confrontation on matters related to container terminal modernisation and automation, the container-chain faces disruption, finding itself once again in the spotlight and potentially exacerbating exiting container congestion further afield in the city.
According to VICT, the difference now is its market share is now 34 per cent of containers destined for the Port of Melbourne and shipping lines will face delays in bringing that quantum of supplies to Melbourne.
“The maritime unions are attempting to steer the waterfront firmly back to the past, effectively by ignoring the efficiencies of automation and hobbling VICT with outdated ways of working and inapplicable wages and benefits,” VICT CEO Tim Vancampen says.
“As the first fully automated terminal in Australia we never expected to be popular with traditional waterside unions, but we couldn’t have anticipated such unrealistic demands.
“We’ve been in negotiations for months, however the MUA is unwilling to consider reasonable differences in VICT’s operation.
“VICT operates Australia’s first and only fully automated terminal. Our employees are not traditional waterside labourers, they’re typically computer operators and maintenance engineers.
“Most operating roles and standards that are now unique to the industry are completely foreign to the MUA’s experience and understanding.”
Read how the last direct action campaign against VICT ended up, here
The terminal argues it is facing a union agenda to force Australia’s first fully automated container terminal to comply with “industry standards” by adopting the “incompatible hours, manning and overtime conditions that govern the manually operated terminals around Australia”.
“This would see Australia’s most modern terminal saddled with inappropriate working arrangements with its efficiencies seriously compromised and its potential to achieve profitability put at risk,” it says.
The MUA is demanding wage increases equivalent to between 5.8 per cent to 11 per cent each year over three years for certain roles, with overtime and penalty rates to rise by 50 per cent to 100 per cent from current rates.
The MUA is also seeking a paid week off every 10 weeks, plus reduced shifts in the 9th week, effectively reducing time worked by 11.4 per cent.
The MUA roster would require an additional panel of employees to make the operation viable, requiring a 25 per cent increase in labour numbers, 11.4 per cent fewer hours for everyone, plus a wage increase of up to 20 per cent.
“If fully accepted, the MUA claims will cause the total cost of employment at VICT to rise by 117 per cent or more than $119.1 million over the four years, making this ground breaking project unviable,” the terminal operator says.