New deal ends DP World strike saga

Friday, 2 February, 2024 - 08:48

Stevedore giant DP World has reached an in-principle four-year agreement with the Maritime Union of Australia, ending a protracted period of disruptive industrial action at ports including Fremantle.

DP World said the agreement, which will replace the previous contract expiring in September last year, includes key provisions ensuring fair compensation, enhanced safety measures, effective fatigue management, guarantees of job security and work-life balance for staff.

It was reached following negotiations facilitated by the Fair Work Commission.

DP World is responsible for around 40 per cent of the nation’s shipping container movements and has previously estimated a backlog of around 50,000 containers as a result of industrial action carried out by the union since October.

The company previously estimated a cost impost of $78.7 million from disrupted exports, including $8.9 million from its Fremantle terminal. The Chamber of Commerce and Industry estimated last month that the saga was costing the state economy $10.7 million each week

Around 6000 are understood to have been in backlog at Fremantle.

Speaking on today’s announcement, DP World Oceana executive vice president Nicolaj Noes said the company was looking forward to moving on from the saga.

“This agreement is a testament to our commitment to our workforce and to providing uninterrupted services to our customers,” he said.

“We are now focused on moving forward, restoring the supply chain operations, and working collaboratively with our employees to rebuild confidence among our customers and make a positive impact on the national economy.”

In a statement to social media, MUA assistant national secretary Adrian Evans said the outcome was a just result for those working on the wharfs.

“Wharfies perform hard, physical work on a 24-hour, seven day working week, in all conditions and all seasons,” he said.

“They are amongst the hardest working, most productive and most flexible workforces in the Australian economic landscape.”

Mr Evans said the union had been pushing for a new deal since March of 2023, and was pleased to put the matter to bed.

“The past fortnight has shown how quickly a fair and sustainable deal can be resolved once both the workforce and the employer are fully engaged in the negotiation process,” he said.

“The MUA sought to commence this process in March last year, well before the last agreement expired, so that a new agreement could be settled early and without disputation.

“We are pleased that the negotiation process has now concluded.”

DP World had previously, unsuccessfully sought the intervention of federal workplace relations minister Tony Burke

The company said it was appreciative of those who supported it through the tumultuous period of industrial action. 

"DP World expresses its appreciation to the Fair Work Commission, various government entities, industry groups, small and medium-sized enterprises, and its customers for their backing during the negotiation phase, underlining its commitment to revitalising and improving supply chain functions across Australia," it said in its statement. 

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