Major breakthrough in Sydney’s long-running rail dispute

A long-running industrial dispute that has crippled Sydney’s rail network for months is close to being resolved after the state government signed a deal committing it to modifications to a new multibillion-dollar train fleet.

NSW Transport Minister David Elliott said the government and rail union had reached a breakthrough on Friday afternoon, after the state agreed to sign a deed to modify the mothballed intercity train fleet at the centre of the protracted dispute.

Premier Dominic Perrottet, left, and Transport Minister David Elliott on Thursday.Credit: Nikki Short

Elliott, who appeared at the Fair Work Commission on Friday, said the rail union would withdraw all industrial action. “We have agreement. The new intercity deed has been signed. The union will withdraw all industrial action … peace,” he said.

Elliott said a “small number of items” still had to go to arbitration, but the process would not stop rail workers voting on a new enterprise agreement.

“Once the [Fair Work] commissioner has arbitrated, it will be inserted into the enterprise agreement,” he said.

The final resolution of the dispute will hinge on rail workers voting in favour of the enterprise agreement.

The breakthrough late on Friday comes after five days of intense negotiations between the government and the Rail Tram and Bus Union. Premier Dominic Perrottet moved a week ago to head off industrial action by offering commuters fare-free train travel, which paved the way for the negotiations.

The industrial dispute has caused sporadic disruptions to Sydney’s rail network for months.Credit: Louise Kennerley

The government and union have also agreed in principle to an enterprise agreement which will be voted upon by rail workers. It includes a $4500 cash payment for employees and two annual pay rises over the life of the new agreement, which will expire in 2024.

RTBU state secretary Alex Claassens said the signing of the deed for the new intercity fleet had cleared the way to resolve the outstanding items, which would mean that a new enterprise agreement would be presented to members within weeks for them to vote on. Several other unions representing rail staff are also involved in the negotiations over the new enterprise agreement.

“It is a massive leap forward in terms of new trains, a safe network and hopefully a good enterprise agreement that recognises our hard-working members,” he said.

While the government has insisted that the new intercity trains already meet safety standards, the rail union claims they will pose risks unless changes are made to surveillance cameras and doors.

Elliott said both sides had walked away from the negotiations happy with the result.

“The union has got what it wanted, obviously, and so has the government. The modifications to the [new intercity fleet] will be made in accordance with the deed and of course we’ve got industrial action withdrawn, and a new enterprise agreement will go out to the members,” he said.

The RTBU and several other unions agreed not to undertake any industrial action during the coming arbitration period, or while members are voting on the new enterprise agreement, meaning at least two months of guaranteed industrial peace.

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