Striking Woolies workers ordered to stop blocking access to warehouses

Woolworths will be able to get some staff members back into its distribution centres after the Fair Work Commission ordered striking workers to stop blocking access to the warehouses, but it will be some time before shoppers see full shelves at the supermarket.

The commission did not order the strike to end, finding there was nothing to stop unionised workers from rallying at the four centres – but the picketers were ordered to allow safe passage in and out of the sites.

Empty shelves at Woolworths’ Southbank store earlier this week.Credit:

In a statement released on Friday night, Woolworths said it planned to reopen its major Dandenong South distribution centre “as soon as possible”.

The supermarket giant’s shelves have been stripped bare as the company was unable to restock groceries during a two-week strike that shuttered distribution centres in Victoria and NSW. Some Dan Murphy’s and BWS stores were also affected.

Woolworths this week filed an urgent Fair Work Commission application after attempting to bus workers – who were not United Workers Union members – across the picket line and into its Dandenong South facility. The supermarket giant abandoned its plans, citing safety fears.

The commission heard that about 30 staff, including Woolworths managers, had sought to work at the site before the company abandoned its plans to allow some non-union workers to return to work during the week.

The scene this week at Woolworths’ distribution centre in Dandenong South, where a strike has left shelves bare in stores all over Melbourne.Credit: Wayne Taylor

It also heard the centres usually had about 100 workers during each shift. About 300 people regularly work at the Dandenong site.

Woolworths alleged that the union had breached good-faith bargaining provisions because the picket line blockaded the site.

The Fair Work Commission found the union had an obligation not to obstruct work at the site, issuing a bargaining order against the union that it had breached the law in how it had operated the picket line.

Commission deputy president Gerard Boyce ruled the picket line across the driveway of the distribution centre had been conducted in a way that was capricious and unfair.

“I find that unlawful picketing or conduct that has the effect of obstructing the worksite has occurred,” Boyce said.

“I find that the UWU is not meeting its good-faith requirements under the act.”

Boyce also said the UWU had failed to provide evidence to support its position that the picket line was within the law.

Negotiations between the union and Woolworths about the pay deal continue.

Reacting to the decision, a Woolworths spokesperson said the company was “pleased” with the outcome.

“Today’s decision is a positive step for our team members who want to get back to work before Christmas,” they said. “It also means we will be able to progressively boost stock levels across stores in Victoria.”

During the hearing, Woolworths described the picket line as forcing it to negotiate with the striking workers’ union as though the company has a “gun to its head”.

In an opening statement at the commission hearing on Friday, Marc Fellman, KC, said the union had breached a good-faith bargaining agreement to run the picket line.

The scene at Woolworths distribution centre in Dandenong South on December 3.Credit: Wayne Taylor

“[The picket] places pressure on Woolworths to accede to the industrial demands being made by the UWU in the bargaining process,” he told the hearing.

“The idea that an obstructive picket at a site that is the subject of bargaining, does not influence the bargaining process, does not put industrial pressure on Woolworths, is contrary to the very purpose of an industrial picket.”

Fellman said Woolworths had a legal right to continue bargaining with the UWU, “without having a metaphorical gun to its head that stops Woolworths from getting team members back to work”.

Woolworths said this week that the strike had cost $50 million in lost sales, and it expects further impacts on turnover until the strike is resolved.

The union’s counsel, Hugh Crosthwaite, told the commission that the orders were unnecessary because the picket had not affected the bargaining.

“Bargaining since [December 2] has continued at great frequency, the parties are meeting regularly,” he said.

“Bargaining is progressing in a completely orthodox way. There is simply nothing in the bargaining process to remedy. Indeed while we’re here, bargaining representatives are bargaining.”

Crosthwaite also said it was “utterly implausible” that Woolworths could have operated the facility with the few staff it planned to bus in, as they were cleaners and others who did prep work rather than operators of the centre.

United Workers Union national secretary Tim Kennedy said this week that the union had been bargaining in good faith for months.

“The best way to get workers back to work and shelves restocked in time for Christmas is for Woolworths to concentrate on reaching agreement at the bargaining table. Anything else is a distraction,” Kennedy said.

With Lachlan Abbott

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