Port Kembla Coal Terminal industrial dispute: union claim win in bitter dispute

A bitter dispute characterised by strikes at the Port Kembla Coal Terminal has been resolved.

The industrial dispute at the Port Kembla Coal Terminal is over. Picture: Simon Bullard

A bitter industrial dispute characterised by strikes and lockouts of workers at the Port Kembla Coal Terminal has been resolved, after the employer agreed not to sack permanent blue-collar employees and replace them with contractors.

But the Construction, Forestry, Maritime, Mining and Energy Union has struck a compromise over workers who are not in trades or operator positions at the terminal, agreeing they could be replaced by contractors provided the company takes reasonable steps to redeploy the displaced employees.

CFMEU national president Tony Maher said the settlement showed the community would not tolerate mining multinationals seeking to replace quality permanent jobs with cheaper outsourced labour.

“The workers at Port Kembla Coal Terminal have had a win that will resonate around the nation,’’ he said.

“Companies need to get it through their head: this kind of bastardry will no longer stand. The community won’t accept it, workers won’t accept it, and unions will fight it tooth and nail.”

A PKCT spokeswoman welcomed the in-principle agreement which she said was in the best interest of employees, their families and the broader Illawarra community.

The workers have not had a pay rise for four years and the agreement provides for a 10 per cent increase over the life of the new deal. Employees will get an upfront five per cent rise, three per cent in the second year, two per cent in the third year and a zero rise in the final 12 months.

CFMEU mining and energy south western district vice president Bob Timbs said the agreement showed “the power of unions, the power of solidarity, and the power of standing strong”.

But Mr Timbs said he was “disappointed that this bitter and bruising dispute happened at all”.

“The agreement we now have could have been voted up well before Christmas. Since then workers and their families have been put under extreme stress and pressure by excessive lock outs. This kind of dispute just drains goodwill from the workplace,’’ he said.

“Yet, without this battle, Port Kembla Coal Terminal workers faced being sacked and replaced with contractors. For months management insisted job security was off the table. So workers needed to fight, I just wish South 32 hadn’t made it necessary.”