Australian tribunal orders Svitzer not to proceed with employee lockout

Australian tribunal orders Svitzer not to proceed with employee lockout

Customers can return to planned shipping movements and recommence port operations, Svitzer announced

Australia’s work relations tribunal Fair Work Commission (FWC), specialised in handling labour disputes in the country, intervened last week to stop the decision of towage operator Svitzer to lockout around 600 of its workers. The Maersk-owned company issued a notice of lockout to a large number of its port towage employees earlier this week, preventing them from attending work starting Friday 18 November. According to an announcement published on Svitzer’s website, the FWC statement advised the company not to go on with its plan and suspended the industrial action for six months until March 2023. “On this basis, the lockout will not proceed and customers can return to planned shipping movements and recommence port operations,” said the company. The FWC brought Svitzer and the unions representing the workers together in a hearing today to decide if the lockout would potentially risk the Australian economy. The tribunal concluded that the action would significantly disrupt all 17 ports in Australia and that shipping would be reduced by 90% at most ports where the company operated. While the lockout will not take place tomorrow, the FWC is still considering whether to suspend or terminate the industrial action. Negotiations between Svitzer Australia and the unions have been going on for three years. According to the company, “the step was taken in response to industrial action which has made it difficult for Svitzer to run its operations.” Svitzer claims that the industrial action taken by its employees cost the company more than 2,000 hours of work stoppage since 20 October 2022. Svitzer Australia employs more than 1000 people completing over 50,000 port towage tug jobs annually in Australia, according to the company’s website. Sources: ABC News Australia, Svitzer, FWC, Shipping Watch