National strike threat to Toll deliveries

The Transport Workers Union is threatening a 24-hour national strike unless Toll backs down on proposals to cut overtime and use cheaper contractors.

TWU national secretary ­Michael Kaine accused Toll of being “hysterically dishonest”. Picture:Justin Lloyd

Parcel and grocery deliveries across the country face disruption, with the Transport Workers Union threatening a 24-hour national strike on Friday unless transport giant Toll backs down on proposals to cut overtime and use more cheap contractors.

TWU officials said that, if ­crisis talks on Monday failed to resolve the bargaining dispute, Friday’s action would be the first national strike by the union in road transport since 2010 and the first national industrial ­action at Toll.

The company blasted the union for “playing politics with people’s lives and jobs”, claiming the industrial action threatened to disrupt the transportation of vital medical supplies, including Covid-19 vaccines.

TWU national secretary ­Michael Kaine accused Toll of being “hysterically dishonest”, saying the company knew the union exempted medical supplies from industrial action.

Ninety-four per cent of Toll workers who participated in a ballot voted for the right to take industrial action, meaning they can legally strike after providing Toll with three days’ notice.

Mr Kaine said industrial ­action would disrupt grocery supplies and parcel deliveries to homes, which have spiked during the pandemic. He said the strong vote had prompted Toll to abandon a proposal to bring in new employees on 30 per cent lower pay and superannuation, but jobs and wages were still threatened by other provisions allowing Toll to outsource work to the lowest bidder.

Toll wants part-time staff to be able to work additional hours up to 38 hours a week without getting overtime. Mr Kaine said the company also wanted to hire new employees on contracts of six months to two years.

“In a bid to compete with the likes of gig-style AmazonFlex, Toll aims to drive down labour costs by scrapping overtime ­entitlements and engaging outside drivers on minimal pay and with fewer rights,” he said. “Toll must seize its opportunity at ­negotiations on Monday to back down from its assault on jobs and prevent mass disruption to supplies and the economy. Workers have sent a strong message with an emphatic vote to take action if that is what it takes to rescue their jobs from the scrap heap so they can support their families.”

Toll workers are paid an average $95,000 a year and receive an industry-leading super­annuation rate of 14.75 per cent, which they have achieved through previous enterprise bargaining rounds.

Toll is selling its global ­express business to private equity fund manager Allegro and will retain its global logistics division. The pay and conditions of staff transferring to Allegro have been “guaranteed”.

The company is seeking to ­expand its presence in e-commerce and business-to-consumer markets and had proposed new employees be paid at a lower rate equating to 10 per cent above the minimum award rate as well as 10 per cent superannuation.

The company dropped the proposal following the result of the protected action ballot.

Toll Group’s Global Express president, Alan Beacham, said: “Threatening industrial action at a time when our country is in the middle of a global pandemic is playing politics with people’s lives and jobs. As one of the country’s biggest transport companies, we are well used to managing disruptions to our operations, from bushfires to floods to a global pandemic. We can assure customers their goods will be transported during any potential industrial action.”

He said while TWU members, “and only union members”, were entitled to take industrial action, no employee could be forced to participate in any industrial ­action undertaken by the union.

Mr Kaine said Amazon was “the cane toad of the Australian economy and like all invasive pests, it seemed benign before it went feral and began crowding out companies like Toll”.