Dairy factory strike: Processors warn of financial strain

More strikes will shutdown dairy processors this week. Here are the affected sites.

Fresh strikes are set to hit four dairy processors across more than a dozen sites this week as the United Workers Union ramps up pressure.

Fonterra, Lactalis, Peters and Saputo are yet to reach an agreement with the UWU after more than 1400 workers went on strike last week in the biggest disruption to the dairy supply chain since the 1980s.

The UWU confirmed more than 300 dairy workers at Saputo Allansford have lodged notices seeking Fair Work Commission approval to take 24-hour stoppages either Wednesday or Thursday.

At the time of publication, it was yet to be confirmed whether action would take place.

Workers at Saputo sites in Cobram, Leongatha, Kiewa and Laverton North have also endorsed further industrial action.

Saputo, Fonterra, Lactalis and Peters are all involved in the industrial dispute. Picture: Zoe Phillips

Another strike day on Friday is also on the cards if a deal isn’t reached.

More than 300 workers at Fonterra sites in Cobden, Stanhope and Darnum have also endorsed taking six days of strike action, with rolling 24-hour stoppages.

Workers at Lactalis Longwarry and Peters Icecream at Mulgrave are also poised to strike again, after last week’s strikes.

Dairy Farmers of Victoria president Mark Billing has urged Victorian Agriculture Minister Ros Spence to broker talks between processors and unions.

“I know the minister is new to the job but she has an ability to intervene here and get both sides talking. We need a deal,” Mr Billing said.

However, Ms Spence declined to act as a peacemaker.

“The industrial action is a matter for Victorian dairy producers,” a ministerial spokesman said.

UWU national secretary Tim Kennedy accused the four processors of giving workers the mushroom treatment — meaning they’ve been kept in the dark.

“Dairy workers have shown they are serious about winning a pay rise that goes some way to address their soaring cost of living,” Mr Kennedy said.

“They are sick of the mushroom treatment from these multinationals after more than six months of talks.”

Australian Dairy Products Federation executive director Janine Waller said processors were under considerable financial strain.

“Well before the strike action, dairy processors in Australia have been contending with additional pressures,” Ms Waller said.

“With a 30-year low in raw milk production volumes of 8 billion litres per annum; persistent

rises in input costs; expanding compliance costs including the government-enforced Dairy Code of Conduct; and a 17 per cent surge in imports.”

Last week, a peace deal was reached between dairy tanker drivers and Saputo after a 48-hour strike in Gippsland.

More than 150 drivers resumed normal operations, following confirmation of the deal by the Transport Workers Union on Friday afternoon.

A Saputo spokesman said the processor was “pleased to have reached an in-principle agreement with the Transport Workers’ Union of Australia for its valued tanker drivers.”