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Union’s astonishing $2 billion wage claim shuts down Sydney

The astonishing wage claims by rail union bosses which will cause the closure of Sydney’s entire rail network for the next two days, would cost taxpayers an extra $2 billion if the government caved in and approved the demand.

Stern warning amid train strike chaos

The astonishing wage claims by rail union bosses which will cause the closure of Sydney’s entire rail network for the next two days, would cost taxpayers an extra $2 billion if the government caved in and approved the demand.

The city is set to turn into a Covid-era ghost town on Friday and Saturday as the Rail, Tram and Bus Union forge ahead with strike action.

Crisis talks with the state government failed to reach an agreement yesterday, with Premier Chris Minns to hold more discussions today. He has now personally involved himself in the dispute, which threatens to disrupt services every weekend until Christmas.

RTBU Secretary Toby Warnes said that while “encouraging words” were exchanged, there was still no deal.

Transport Minister Jo Haylen refused to take the union to the Fair Work Commission in a bid to have the strike ruled unlawful.

Avenue on Chifley owner Philip Barbaro says he has already lost thousands of dollars due to cancelled meetings in the CBD. Picture: Richard Dobson
Avenue on Chifley owner Philip Barbaro says he has already lost thousands of dollars due to cancelled meetings in the CBD. Picture: Richard Dobson

Opposition leader Mark Speakman said the union was extorting commuters in order to get exorbitant wages for its members.

“This is outright greed and extortion at its worst,” Mr Speakman said.

“This weekend NSW is stranded and taxpayers have had enough - all because Chris Minns is too weak to stand up to the unions. Enough is enough, knock it off and end this disgrace.”

RTBU members have pledged to down tools from first thing Friday morning unless the government runs services around the clock.

Transport officials have said running 24-hour services would cripple the network by preventing crucial maintenance.

Traveller Adam Jones, partner Ffion Jones and their children George and Logan have changed plans and will drive to the NSW south coast this weekend instead of seeing the sights of Sydney. Picture: Rohan Kelly
Traveller Adam Jones, partner Ffion Jones and their children George and Logan have changed plans and will drive to the NSW south coast this weekend instead of seeing the sights of Sydney. Picture: Rohan Kelly

“The only way to keep our network running and to make sure people can get where they need to go is for the union to withdraw their industrial actions that are currently in place for Friday and Saturday,” Ms Haylen said.

Businesses were bracing for disaster as restaurant cancellations poured in and retailers prepared to have the crucial start to the Black Friday shopping period disrupted.

Mr Warnes denied he was simply using commuters as a “bargaining chip” in a bid to get his members more pay. “We say that the government are the ones using the commuters as a bargaining chip,” he said.

The RTBU is trying to force the government to give all rail workers a 32 per cent pay rise over four years and a 35-hour work week, down from 38 hours.

The wage demand would cost an additional $2 billion and is $1.1bn more than the government’s current wage offer of 9.5 per cent over three years plus superannuation.

Commuters Ally McMahon. Picture: Rohan Kelly
Commuters Ally McMahon. Picture: Rohan Kelly

Mr Warnes said the union would continue to disrupt commuters every weekend until Christmas until a better wage offer was put to them.

“We’re willing to stand by it and ensure that pressure is maintained,” he said.

Transport for NSW said that rideshare companies agreed to “limit” surge pricing during the strike, although prices are still expected to be higher than usual in entertainment precincts.

Additional Metro services will run on Friday, running every four minutes until 8pm, but will shut down on Saturday for maintenance.

Light rail will also have additional services on Saturday with event buses to take concertgoers to Pearl Jam at Sydney Olympic Park.

Premier Chris Minns.
Premier Chris Minns.
Transport Minister Jo Haylen.
Transport Minister Jo Haylen.

Business Sydney analysis estimated that city businesses would lose some $25 million due to the shutdown based on hospitality patronage alone.

That includes $2.1m from those having a causal lunch in the city at $30 per person, $7.6m from those having a night out with a $100 per person spend, and $15.3m from those planning a big night out or special occasion with a spend of $200 per person.

Philip Barbaro, who owns the Avenue Group hospitality company, said he had already lost “thousands” of dollars.

He called for the government to “compensate the private sector” which relies on foot traffic.

“Key meetings have been cancelled, which means your Friday lunches have been cancelled, your Friday breakfasts have been cancelled,” he said.

Business Sydney Executive Director Paul Nicolaou said city businesses are already making plans for people to work from home on Friday.

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Original URL: https://www.dailytelegraph.com.au/news/nsw/unions-astonishing-2-billion-wage-claim-shuts-down-sydney/news-story/bc9d9a483426cc9260893731a67559c9