Business News Releases

Geelong: Protest as local tug crews replaced by fly-in fly-out contractor

MARITIME workers will tomorrow protest against a decision by Australia’s largest towage operator, Svitzer Australia, to replace local tug crews at the Port of Geelong with fly-in fly-out labour hire workers.

Geelong workers who were made redundant by Svitzer in December last year will be joined by supporters from the Maritime Union of Australia (MUA) to demand that local workers be given their jobs back rather than be replaced by a labour hire contractor.

The 18 workers who lost their jobs were shocked to discover that just six months after Svitzer told them it was departing the Port of Geelong, the company has contracted Strategic Workforce Solutions to use fly-in fly-out workers to restart marine towage services at the port.

MUA Deputy Victorian Branch secretary David Ball said it was outrageous that the largest operator of towage services in Australia, with a fleet of more than 100 tugs at 28 ports, was stripping jobs out of the Geelong community.

“Svitzer Australia tossed 18 local workers on the scrap heap just before Christmas, telling them they were abandoning the Port of Geelong,” Mr Ball said.

“Just six months later, we discovered that the company plans to restart operations using fly-in fly-out labour hire workers rather than providing jobs to the local community.

“It appears Svitzer never really intended to leave Geelong, they just manufactured this arrangement where they could terminate their entire local workforce and use a sham contracting arrangement with a labour hire company that has no experience in maritime towage to slash costs.

“Geelong is being robbed by this multinational company who wants to profit from providing towage services at our port, but not provide any jobs or economic benefits to our local community.

“The union has repeatedly attempted to negotiate with Svitzer to find a way to allow their viable reentry into Geelong, but the company refuses to work with the union.

“Svitzer has also refused to reinstate the workers they made redundant, despite these former tug crews being the most experienced people for the job, with exceptional knowledge of how to safely and efficiently undertake tug operations at the Port of Geelong.”

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Barnaby Joyce must step up to save regional rail jobs says RBTU

RAIL WORKERS today called on new Infrastructure, Transport and Regional Development Minister Barnaby Joyce to block moves to shift the transport of domestic containerised freight from Australian trains onto foreign flagged ships.

Rail, Tram and Bus Union (RTBU) national secretary Mark Diamond said thousands of jobs in regional areas were at risk from a departmental proposal to further deregulate coastal trading laws, which would allow overseas-based ships to compete directly for domestic freight work.

“Barnaby Joyce has been returned to leadership of the National Party with a mandate to stand up for jobs in regional Australia.  As Minister for Transport, the jobs of regional rail workers are his responsibility," Mr Diamond said.

“The proposals put forward by his new department will make it easier for foreign-flagged vessels to operate in the Australian domestic freight market and compete directly with local rail operators.

“But it will be far from a level playing field: overseas shippers don’t have to pay Australian wages or meet Australian workplace standards.

“We are concerned these reforms, if adopted, could see the end trains carrying containerised freight in Australia.

“That means the National Party’s flagship infrastructure project, Inland Rail, is at risk of becoming a massive white elephant before it’s even built.”

Mr Diamond said Mr Joyce should start by ruling out any changes to coastal shipping that undermine the rail industry.

“Looking forward, rail workers want to see a level playing for the transport of containerised freight in Australia, and an industry plan to support growth in this sector into the future.”

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Queensland mining jobs hit record high

THE Queensland Resources Council (QRC) has welcomed Australian Bureau of Statistics (ABS) employment figures for the May 2021 quarter which show direct mining jobs in Queensland have hit a record high of almost 85,000. 

QRC chief executive Ian Macfarlane said this figure "blows the previous record for mining jobs – of 80,594, set in the booming November 2013 quarter – out of the water".

“The latest direct jobs figure for the mining sector of 84,909 is up 11 percent, or 8,101 jobs, on the previous quarter,” he said. ‘On top of this, there has been a 29 percent increase, or 19,083 extra jobs, over the 12-month period since the May 2020 quarter. 

“This is great news for the Queensland economy and for all the direct and indirect jobs that flow on from these extra mining jobs.”

Mr Macfarlane said the latest employment data shows Queenslanders can keep counting on the resources sector to help the economy recover from the effects of COVID-19.

“We’re very fortunate in Queensland to have an abundant and diverse resources base, supported by decades of mining experience and a world-class Mining Engineering and Technology Services (METS) sector,” he said.

The ABS figures show exploration and other mining support service jobs increased by 93 percent, or 12,260 jobs, over the 12-month period from May 2020 - 2021. 

Metals’ mining jobs in particular drove the increase over the quarter, with employment up by 47 percent, or 8,101 jobs. 

Oil and gas employment also increased by 2,549 jobs, or 49 percent, over the quarter. 

Mr Macfarlane said the resources industry would continue to be the economic backbone of Queensland, as long as the right economic, social and environmental policy settings are in place to support sustainable growth. 

That’s why the State Government’s resources industry development plan is so important to get right, because Queensland has an opportunity to be a global energy superpower if we plan well for the future. 

“We will continue to work in close partnership with key government agencies to develop a road map for a sustainable resource future that benefits all Queenslanders.” 

Source: ABS Labour Force, Australia, Detailed - EQ06 available - click here to view 

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Resources businesses in firing line of big insurers and lenders

A GROWING NUMBER of small to medium-sized businesses that service the resources sector are having significant problems securing finance and insurance because of recent climate change-related policy changes by banks and insurers, the Queensland Resources Council (QRC) said today.

QRC chief executive Ian Macfarlane said Queensland businesses which support the state’s $82.6 billion resources sector, particularly the all-important Mining, Engineering and Technology Services (METS) sector, are being disadvantaged.

“Insurers and banks are increasingly trying to appease activist shareholders by reducing or cutting ties with operators connected to resources,” Mr Macfarlane said.

“In some cases, insurance premiums are tripling, and the cost of credit is skyrocketing simply because a business is supplying goods or services to the resources sector. 

“The irony is that by restricting the ability of METS businesses to renew their insurance policies and access finance, these lenders and insurers are threatening the viability on the very sector that will play a leading role in Queensland’s transition to a low-emissions future.” 

In a presentation to the Joint Standing Committee on Trade and Investment Growth Inquiry today, Mr Macfarlane said if resources-related businesses can’t get finance or insurance at a reasonable rate, jobs in the industry will be lost.

"Through our submission, the QRC is giving a voice to service companies, many of which are based in regional areas, to send a message that jobs will be lost because of increasingly unfair banking and insurance practices,” he said. ]

A recent survey of  QRC supply chain members, representing a combined workforce of 7,600, found:

  • 75 percent said accessing banking or lending services has become much more difficult in the past two years; 
  • 44 percent said that if these banking costs stayed at these levels for the next five years, they would be unlikely to continue operating; 
  • 90 percent said they had experienced a major change in insurance as a result of working in the resources sector.

Mr Macfarlane said the QRC supports the Paris Agreement and emissions’ reductions targets, and that Australia’s well-regulated and environmentally sustainable resources sector can continue to thrive while meeting these targets. 

“Queensland is abundant in resources and has the potential to become a global renewable and low-emissions’ energy superpower, but resources companies need a viable METS sector to provide technical expertise and innovation to support our operations,” he said. 

“The QRC hopes this inquiry will encourage the banking and insurance sectors to work with their regional clients to implement practical reforms that will lower emissions and help keep exports rolling.”

 

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Grain and wine exporters have say on expanding membership of the Trans-Pacific Partnership

THE Department of Agriculture, along with GrainGrowers and Wine Australia, will appear at a public hearing today for an Australian parliamentary inquiry looking at the merits of expanding the membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.

The CPTPP agreement signed in 2018 is a trade bloc of 11 countries that includes Australia and is an export market of 500 million consumers worth nearly $14 trillion.

The parliamentary inquiry will examine the scope for expanding the TPP beyond the existing membership of Australia, Canada, Japan, Mexico, New Zealand, Singapore, Vietnam, Brunei Darussalam, Chile, Malaysia and Peru to include new members.

Ted O’Brien is the chair of the Trade Sub-Committee of the Joint Foreign Affairs, Defence and Trade Committee.

“We welcome the opportunity to investigate the views of the grain and wine sectors, along with the Department of Agriculture,” Mr O’Brien said.

“As we examine the merits of expanding the CPTPP trade pact to include other economies, it is important we understand what trade obligations potential members should satisfy.”

Representatives of the Department of Agriculture, Water and the Environment, GrainGrowers Ltd and Wine Australia will appear at the public hearing at 9:50am, Thursday 24 June 2021 in Committee Room 1R4, Parliament House.

Further details about the about the inquiry, including terms of reference, details on how to contribute a submission and, when available, details of public hearings and roundtable discussions, can be obtained from the Committee’s website.

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