ENGAGE MARINE’s Port Jackson tug crew are now employed under a new arrangement, known as the Sydney Ports Towage Services Co-operative.

Under the co-op model 15 crew members and Engage co-own the local operating company, Engage MD Mark Malone said this differs from the partnership model used by some companies in some ports in that the crewmembers are employees of the co-op and are thus entitled to full rights under employment law. Those under partnerships are contractors and don’t enjoy those rights.

Mr Malone said the company had been working with the maritime unions on the co-op model for some years but was unable to implement it in Sydney until Engage’s relationship with Smit Lamnalco was unwound earlier this year.

“The unions are not necessarily ecstatic but they recognise it’s a step forward from partnerships where they’re not classed as employees and don’t have protections.”

Mr Malone describes the SPTSC as a ‘win-win’, as crews have “skin in the game” and share the benefits that accrue from a successful business. He noted that Engage already had similar arrangements in place in Whyalla and Geelong, the latter for two years now.

“The co-op is given a budget and if at the end of the year they’ve outperformed, they share the benefits. Geelong crews have beaten their targets and enjoyed a distribution each year so far.”

Mr Malone stressed that Sydney participation has been entirely voluntary, with the polling on inclusion or otherwise conducted by independent, outside parties.