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Home›Transport business›FedEx workers on lockdown as labor dispute escalates ahead of Christmas package rush

FedEx workers on lockdown as labor dispute escalates ahead of Christmas package rush

By Linda Glidden
November 22, 2021
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The pre-Christmas parcel delivery crisis is expected to worsen, after global delivery giant FedEx excluded workers at its Sydney fulfillment center this morning amid a deepening labor dispute.

Key points:

  • FedEx now locks out employees who take industrial action, meaning they can’t go to work
  • Parcel delivery company clashes with Transport Workers’ Union over new company deal
  • Other delivery and logistics companies recently made deals with the TWU following industrial action

Delivery drivers negotiating a new wage deal with FedEx maintained four-hour stops.

However, as of today, those who do are prevented from completing their shift and starting the next.

During a protest in Enfield, a western suburb of Sydney this morning, union representatives said the company had imported “ideological warfare” tactics from its headquarters in the United States.

“After seven difficult months of trying to negotiate with a company with an anti-worker agenda, which refuses to recognize a reasonable solution, FedEx workers have exhausted all options except to pursue their legal right to withdraw their work,” said the national secretary of the Transport Workers Union. Michael Kaine said in a statement.

“FedEx cuts its nose to annoy its face.

“Management would rather launch an all-out brawl with the workers at great cost to their company and their customers rather than consider the reasonable solution proposed by union members.”

Amid the support horns of passing trucks, workers enjoyed a sausage sizzle and waved flags for television cameras covering the event.

CUTA Secretary Sally McManus said delivery drivers kept the nation on the move during the pandemic, putting themselves at risk before vaccines became available.

“FedEx made $ 18 million a day during the pandemic, amassing huge profits. They now refuse to share a tiny fraction of that with workers who risked their health to make them those profits,” Ms. McManus said.

“Locking out workers is not Australian and the ultimate disrespect for the people who make this company so successful.

“A reasonable wage increase that has already been accepted by their competitors and better job security is the least workers deserve.”

What about global supply chains?

A few sadly timed problems in global supply chains are contributing to huge delays for consumers around the world. Here is what is going on.

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In a statement, FedEx Express Australasia vice president Peter Langley said the company had negotiated in “good faith” with the union and made concessions on job security, wages and pensions. retirement.

He said FedEx paid workers, on average, 27% above the price – the base wage for some occupations.

“This is the most competitive offer made by a company in our industry, providing certainty over salary increases over the next three years at a time when external economic conditions are difficult to predict,” said Mr. Langley.

“We look forward to concluding these negotiations and quickly passing these industry leading increases to employees. “

Delivery crisis

The explosive growth of online shopping has created a boom in parcel deliveries.

Christmas shopping in the face of supply chain issues

Global supply chain issues are expected to cause pain for Christmas shoppers this year. The COVID-19 outbreaks have closed ports and factories, resulting in a backlog of shipments to Australia.

Read more

Industry analysts say current parcel volumes are at “Christmas” levels even though the main holiday is a month away.

Add to that shipping interruptions and industrial action and delivery delays are on the rise.

Thousands of Toll workers went on strike, as did 2,000 employees of Australia Post’s parcel branch, StarTrack.

However, these companies recently concluded new company collective agreements (EBAs) with their workers, thus ending the strike.

This leaves FedEx as the last major delivery and logistics company currently in dispute with the TWU over a new EBA.


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