Wednesday 20 January 2016

Strike !

This week four Australian ports were idle for twenty-four hours when the Maritime Union of Australia called a strike and walked off - over a pay claim !   This is the first strike since 1998 and industry fears that a new round of waterfront militancy may be in the offing.

Our main management of port terminals is in the hands of Patrick's and this strike closed down Port Botany, Fremantle, Melbourne and Brisbane.   The union  is demanding a lowering of working hours from thirty-five to thirty two hours per week, but with pay maintained at the thirty-five hour level and many new penalty rates applied to weather and other factors.   Patrick management claims that the cumulative effect of this proposal would increase port costs by 53 %.

This may be an ambit claim and in the past those often contained totally unrealistic demands, but the fact that the first action taken is a strike is a chilling development.  Usually a strike is the conclusion of long and tedious negotiations that have run into deadlock.  Many will remember the bad old days on the waterfront when getting cargos on or off ships was a complete gamble for shippers.  The union ruled the roost - and the strike weapon was liberally applied.

Those were the days when the waterfront required huge numbers to manually load and unload ships.  The goods were put into " slings " moved by cranes and this required each sling to be unpacked when it reached the ship's hold or when the incoming cargo reached the wharf.   It was slow and tedious work - and notorious for the pilfering that was common.

At it's height, it devolved into what were termed " gentleman's agreements " between the union and the shippers.   Limits were set between the two on what levels of theft would be tolerated and what items would be included on that list.   It was common to see as a change of shift drew near - for a sling of cigarette cartons to " accidentally " break open and the wharfies collect the precise number of cartons of smokes that this agreement allowed.

The age of shipping containers not only put a stop to that when those " slings " became redundant but the numbers working on the docks contracted sharply.  Instead of labourers the workers were now skilled tradesmen who operated cranes or fork lift trucks and loading or unloading ships was done in hours where previously it had taken days.  In recent times it seemed that peace had settled on the waterfront.

If this strike ushers in a new era of militancy it comes at a very bad time.  Australia used to be termed as " riding on a sheep's back " in the days when the wool clip was our primary export.  In more recent times coal and iron ore have been the main source of our national income, but a slowing China has reduced those levels and it is important that we develop new sources of export income.

It is possible that this new militancy is politically inspired, as we approach the time of new Federal elections, or it may be that the union leadership is banking on our need to develop new income streams to push for more rewards for it's members.   Having a finger on the pulse that regulates what passes over the wharves is make or break when it comes to the national economy !

Australian industry will be watching how this develops - with more than passing interest !


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