Bulk Liquids Alliance announces industrial action against Royal Vopak at Darwin East Arm Port

The NT could run out of fuel within weeks over a pay-dispute at the Darwin ports, with a multinational company threatening to fly in overseas workers.

East Arm workers who manage the off-loading and storage of fuel have announced they will begin industrial action against the Dutch company Royal Vopak starting on Thursday.

The Territory could run out of fuel within weeks unless a pay stand-off between workers and a multi-billion dollar multinational oil storage company is resolved.

East Arm workers who manage the off-loading and storage of fuel have announced they will begin industrial action against the Dutch company Royal Vopak starting on Thursday.

Bulk Liquids Alliance organiser Shane Reside said the Darwin workers were taking a stand after the company offered them pay rates 9 per cent less than their Sydney colleagues.

Mr Reside said despite doing the same “highly skilled, and very, very dangerous” work as workers at Sydney’s Port Botany, the Darwin operators were being “systemically underpaid”.

“They have systematically denied their (Darwin) workforce a collective agreement for the whole time that they’ve operated in the Northern Territory, which is now 20 years,” Mr Reside said.

He said for the past four months the union had been in negotiations with Vopak, but talks had “stalled”.

The Vopak Fuel Terminal at East Arm sells fuel to petrol suppliers United, BP, Shell, Caltex and Ausfuels.

“When it became obvious that the Northern Territory operators were going to refuse to be paid less than the Sydney operators, the company pulled down the shutters and has been refusing to speak to us,” Mr Reside said.

He said in response the workers had decided to impose work bans starting from Thursday, with employees refusing to help drivers loading fuel, no preventive maintenance and limiting the pump speed to 75 per cent.

“Now those bans in the first instance are not going to be enormously disruptive,” Mr Reside said.

“We’re just seeking to get the company’s attention and demonstrate to them that they’re serious.

“And if in those 10 days we can’t reach an agreement, we’re going to be left with no choice.

“If the company doesn’t come to the table and start seriously talking to us, they’re going to escalate very quickly to a full blown strike in the fuel import terminal.”

He said in response the workers had decided to impose work bans starting from Thursday, with employees refusing to assist drivers loading fuel, no preventive maintenance and limiting the pump speed to 75 per cent.

Mr Reside said the wage standoff could escalate from one-hour stoppages right through to complete strike action, including refusing to load and unload ships.

“Then the Northern Territory is at risk of running out of fuel within a couple of weeks.”

An internal Vopak human resources communication, seen by this publication, said the company was considering bringing in overseas workers if the industrial action went ahead.

“We have received several offers of support from the region, including providing international operators,” it said.

“We will be taking up that offer as needed.

“We (are) exploring other labour options”

An internal human resources communication from Royal Vopak to employees in relation to potential industrial action at the Darwin East Arm Port.

Mr Reside said this would be an “extraordinary and unprecedented” measure, and a “nuclear grade escalation from the company”.

“We haven’t seen anything like that Patrick’s dispute in 1998, when Patrick’s tried to fly in a complete replacement workforce by helicopter,” he said.

United Workers Union NT Secretary Erina Early said it was an “extraordinary” measure from the company against a recently unionised workforce.

United Workers Union NT Secretary Erina Early said it was an “extraordinary” measure from the company against a recently unionised workforce. Picture: Floss Adams

“We have 10 Territorians who have been running this facility day in day out without fault for almost 20 years,” Ms Early said.

“As soon as they have the temerity to simply request basic workplace rights and equal pay with operators from Sydney, Vopak starts talking about flying in workers from overseas to do their jobs.”

A spokeswoman for Vopak confirmed the business continuity plans were in place ahead of the industrial action, which they said could include temporary work stoppages limited to a number of hours per day.

“While we acknowledge and respect their right to take this action, we have done our utmost to reach a fair and equitable resolution,” she said.

“We apologise for any inconvenience caused.

“We have business continuity plans in place to ensure our terminal continues to operate safely.

“We remain committed to working together with the union in reaching a fair agreement as soon as possible.”

Originally published as Bulk Liquids Alliance announces industrial action against Royal Vopak at Darwin East Arm Port