Chicken peace deal but public servants escalate action

Settlement reached at Inghams but public servants threatening more industrial action.

CPSU national secretary Melissa Donnelly.

Workers at Australia’s largest poultry producer, Inghams, have secured pay rises totalling 13.1 per cent over three years under a compromise agreement that guarantees chicken supplies and delivers wage increases of about $100 a week for some of the country’s lowest-paid employees.

The deal came as federal public sector workers prepare to ­escalate industrial action, including potential 24-hour strikes, after the Community and Public Sector Union rejected the government’s revised pay offer as inadequate.

Following strikes by members of the United Workers Union at the Inghams operations in South Australia and Western Australia, the union and the company reached an in-principle agreement that also includes a doubling of paid breaks from 10 to 20 minutes per shift, a 30 per cent cap on casuals, better conversion rights for direct and labour hire casuals, and an external audit of management ­conduct.

The union had sought an 18 per cent rise over three years – 6 per cent annually – and the company proposed increases totalling 10.9 per cent.

UWU national secretary Tim Kennedy said the company made an improved offer in the wake of the strikes that included a 5.12 per cent increase in the first year with back pay stretching back several months, and 4 per cent increases in the subsequent years.

“I feel like I am in a pretty good position to tell grand final watchers across the country that Hot and Crispy KFC and chicken parmi is back on the menu,” Mr Kennedy said.

“The workers that kept Australia fed during Covid took a pretty admirable stance just over a week ago and because they stuck together, they’re now going to have a nice little bonus ahead of Christmas holidays.”

He said workers would receive, on average, an extra $100 per week, with pay for level two employees increasing to about $1000 a week.

Meanwhile, the CPSU is examining more industrial action, including 24-hour strikes at ­Services Australia.

The government last month marginally increased its pay offer to 150,000 federal public servants to 11.2 per cent over three years, a rise of 0.7 per cent and well below the union claim of 20 per cent.

A union poll of 15,000 members found 51.9 per cent support for the offer and 48.1 per cent rejecting it, with the CPSU saying the slim majority reflected ­“lukewarm support” and the government needed to lift the pay offer.

The union said that members would be escalating industrial action in Services Australia and 24-hour strikes were a “live ­option”.

The union will seek support for action in other agencies.

CPSU national secretary Melissa Donnelly said “the government can and should do better – and that means making an offer that has clear support from employees”.

“The test for the Albanese government as an employer isn’t just being better than the Coalition government, it is to be a model employer – a goal they set for themselves,” Ms Donnelly said.