Operations to resume at Woolworths Melbourne distribution centre as industrial action leaves shelves empty

Operations at one of Woolworths’ key Melbourne distribution centres will resume on Monday, as ongoing industrial action left shelves empty across some stories in Victoria, NSW and the ACT.

Ongoing industrial action has left Woolworths shelves empty.

Operations at one of Woolworths’ key Melbourne distribution centres will resume on Monday, as the supermarket giant tries to fill its empty shelves in the lead up to Christmas.

Ongoing industrial action at four of Woolworths’ distribution centres and Lineage, a cold storage warehouse, has left gaps on supermarket shelves at a number of stores across Victoria, ACT and NSW.

In some cases, frustrated customers have been left with empty or near-empty shelves, with a sign displayed at a Woolworths store outlining: “We’re currently experiencing supply issues as a result of industrial action at our Distribution Centres. We understand this is frustrating.”

“We are working hard to resolve this and will restock as quickly as possible.”

“Thanks for your patience.”

Empty Woolworths supermarket shelves. Picture: Facebook

Woolworths said resuming operations at the Melbourne south regional distribution centre, its most significant site subject to indefinite industrial action, would improve availability of food and essential items such as nappies, toilet paper and drinks for its Victorian customers.

The distribution centre’s reopening follows 11 days of industrial action led by the United Workers Union, which is seeking an immediate pay increase for its workers of more than 25 per cent with wage increases of 15 per cent in years two and three.

Woolworths said this was materially above inflation at a time it was working to keep food and groceries affordable for customers, and claimed it had engaged constructively over the course of negotiations with the UWU but had not seen material engagement towards securing a deal.

Woolworths said it had contacted almost three quarters of the team at the distribution centre and a majority had indicated they wanted to return to work before Christmas.

Ongoing industrial action has left shelves empty. Picture: Facebook

The supermarket giant said it remained open to discussions with the UWU and hoped to reach an agreement to increase staff pay by the end of the year.

A Woolworths spokesperson said the company continued to seek to negotiate with the UWU and had requested safe passage for its team and vehicles at the distribution centre when it reopened on Monday.

“This will ensure we can operate the site safely and supply much needed essential food and grocery products to our Victorian customers and communities,” the spokesperson said.

“We know that there have been shortages on our shelves in some Woolworths stores and that this is really frustrating for our customers.

Empty shelves at Woolworths in Bundoora, Melbourne. The supermarket chain blamed the shortages on industrial action at their distribution centres. Picture: Eric Johnston

“We sincerely apologise for the inconvenience and would like to thank our customers for their understanding and for treating our teams with respect.”

This comes after the Shop, Distributive and Allied Employees’ Association endorsed an offer from Woolworths Group last week which Woolworths said contained pay above industry standards, local market rates and inflation, and was approximately 40 per cent above the Storage Services Award.

UWU National Secretary Tim Kennedy said a safe workplace and fair pay increases were needed to end the strike.

“Members of United Workers Union are very clear that while Woolworths’ punitive productivity ‘framework’ is still in play, safety is not being taken seriously by one of the country’s largest private sector employers in one of the most dangerous industries for workers,” Mr Kennedy said.

“The fact we have not reached agreement around this issue after 11 days of strike action suggests one of the country’s largest private sector employers cares more about profits than workers’ safety.

“Breaking a strike at 6am when the Union and Woolworths are set to meet at 9am is just bad faith and nothing more. Woolworths should focus on negotiating a fair outcome rather than escalating industrial conflict.”

Mr Kennedy said Woolworths was already an “incredibly profitable” company and there was no excuse for it not moving on the framework and paying workers fairly.

“While retail workers have a separate relationship with Woolworths and have agreed to a workplace agreement principally around pay, Woolworths is once again missing the point,” Mr Kennedy said.

“Retail workers are not yet exposed to the dangerous, inhumane and unsafe productivity framework, with punishment doled out if warehouse workers fail to meet a 100 per cent performance target every day under the framework.”