STALLED PROGRESS on a new enterprise agreement for Smit Lamnalco’s Gladstone tug fleet employees has seen AMOU and AIMPE members vote to take protected industrial action, with the first impact to be felt next Tuesday.
In a customer advisory SL said it had received formal notice from the unions of PIA to take place from 0001 hours on Tuesday, 14 January 2025, through 2359 hours on Tuesday, 28 January 2025. The action includes: ▪ A ban on work that would have a Master or Engineer work more than 12 continuous hours. ▪ A ban on work that would have a Master or Engineer work more than 12 hours in any 24-hour period. ▪ A ban on working during rostered leave for recalls and relief, except for emergencies directed by the Regional Harbour Master or Australian Maritime Safety Authority. ▪ A ban on entering fuel tank soundings data into FLGO. ▪ A ban on the performance of “hot handovers”. ▪ A ban on the performance of training and/or familiarisation of crew on SL tugs.
The unions have confirmed that exemptions will apply for emergencies, maritime safety, or environmental hazards, as specified in the notice.
SL MD Australia & PNG David Feathers said: “We are currently working through what these bans might mean for port movements and the delivery of towage services. Our immediate focus is on minimising disruptions to your operations while ensuring the safety and reliability of services. We understand the critical nature of uninterrupted port operations and will provide further updates as soon as we have a clearer understanding of the operational implications.
“In parallel, SL has submitted an application to the Fair Work Commission (FWC) to assist in progressing negotiations and finding a resolution to the ongoing discussions. We remain committed to bargaining in good faith and reaching an agreement that balances the needs of all stakeholders.”
The AMOU’s acting executive officer Tracy Ellis said SL’s Gladstone enterprise agreements expired on 31 December and negotiations had failed to produce an outcome.
“The disputed claims include a term preventing SL from scheduling masters and engineers up to 17 hours in any 24 hours, a roster that provides tug ownership and maintenance opportunities, and a reasonable pay increase. The masters and engineers have only received 4% in increases over the last 8 years (0%, 0%, 1%, 1% x 2).
“SL are offering Award minimum wage increases, which currently sit at 3.75%. 4% over 8 years is a far cry from the 23.55% they would have received had they been receiving only the minimum Award minimum increases all that time,” Ms Ellis said, “and we all know that workers getting the Award minimum are still going backwards.
“It’s a shame that we’ve got to having to take protected action to prevent a multinational tug company from scheduling their crews up to 17 hours per day, but here we are.” said Ms Ellis. “We filed our PABO application early in the hopes of resolving things before the enterprise agreement expired, without protected action, sadly SL did not come to the table with a better and safer offer.”
“Regarding the scheduling of crews to work up to 17 hours a day, it is unacceptable for crews to continue working rosters that have them experiencing unpredictable and unsafe hours of work and unpredictable periods of rest,” AIMPE national organiser Sam Littlewood said.
“Queensland seems to be troubled waters for SL. The company lost the towage contract in Townsville to Engage Marine, and enterprise agreement negotiations for the SL crews onboard AMSA’s emergency towage vessel Reef Keeper have soured enough for the MUA to notify them of ten consecutive 24-hour strikes in December 2024.”
For its part, SL asked unions to consider the possible long-term implications of PIA.
“Smit Lamnalco’s contract to provide exclusive towage services at the Port of Gladstone is due to expire at the end of 2026,” Mr Fethers wrote.
“In the near future, we will be entering a highly competitive tender process to secure the next contract. This tender is critical to the long-term stability of our operations, your jobs, and the livelihoods of many in the Gladstone community. Any disruptions caused by industrial action during this period could harm our reputation and weaken our position in the tender process, potentially impacting all of us.
“The wages and conditions under our current enterprise agreement are competitive within the industry and in line with those offered by our key competitors. We are proud to provide remuneration that reflects your skills, dedication, and the critical role you play in our success. Maintaining this competitive edge is essential to securing future contracts and ensuring ongoing, long-term employment opportunities.
“The towage industry is facing increased competition from non-union operators. Recently, a predominantly non-union operator successfully won tenders for multiple ports in Far North Queensland. Additionally, we have seen the emergence of the so-called ‘co-op’ model in east coast ports. While this model has gained some attention, it is widely regarded as overly complex, requiring significant administrative effort from its members and presenting challenges in day-to-day operations,” Mr Fethers wrote.
“This complexity and additional burden make it a less popular alternative compared to the streamlined and effective enterprise agreement model we currently operate under. To protect our EA model and the union-represented jobs it supports, we must demonstrate stability, collaboration, and reliability to all stakeholders, especially during this critical tender period. By working together, we can reinforce the value of our model and ensure the long-term success of our operations.”