The dairy worker strikes in Victoria are over after processors caved into workers’ demands for better wages and conditions.
Key points:
- Dairy workers have cancelled a planned six-day strike
- Unions say they have negotiated pay rises of 14 per cent over three years
- Strikes last week caused disruptions to milk and dairy production
The improvements include a processor’s offer of a 12 per cent pay rise over three years, up from a previous offer of 10.5 per cent.
Last week a series of strikes from two unions caused disruptions to dairy production in Victoria and an estimated tens of thousands of litres of milk had to be dumped and wasted.
There were also threats of a six-day strike starting on Saturday but that action has been called off, after unions and four major processors brokered a deal for better wages for dairy factory workers.
On Monday, milk tanker drivers and members of the Transport Workers Union resolved their dispute with Saputo, after a 48-hour strike which resulted in thousands of litres of milk being wasted.
On Wednesday, the United Workers Union announced it had reached agreement with Peters Ice Cream, Saputo and Lactalis for wage increases for more than 1,000 dairy factory workers.
In a statement, the union said “the vast bulk of the 1,400 dairy workers won a 5 per cent pay rise in the first year, going some way to address the cost-of-living crisis”.
“These workers’ first-year pay rise doubles the 2.5 per cent dairy workers received as they helped their companies out during the pandemic,” the statement said.
Better deal averts strike
Workers at sites owned by New Zealand dairy giant Fonterra were threatening a six-day strike from Saturday but that action has been called off after an in-principle deal was reached with the United Workers Union.
Fonterra has offered workers a 5 per cent pay increase in the first year, 4 per cent in the second year and 3 per cent in the third year of the enterprise bargaining agreement, up from 10.5 per cent across three years before the strike.
The offer includes improved personal leave and shift allowances, including up to five days paid emergency services leave, up to 10 days domestic violence leave and two mental health first aid training leave days for union delegates.
Fonterra supply chain and operations director Rob Howell said the company was pleased to have reached an agreement “largely in line with what was previously on the table, following months of negotiations with the union”.
“An agreement could have been reached without the union taking industrial action, which unfortunately reduced the pay packets of striking union members,” Mr Howell said.
“Throughout these negotiations, we have been focused on reaching an agreement that was fair for our people, our farmers, our customers and the regional communities in which we operate.”
