Freight & Trade Alliance (FTA) and Australian Peak Shippers Association (APSA) representatives met this afternoon (30 June 2021) with Patrick executive - below is a summary of main points of discussion:
PROTECTED INDUSTRIAL ACTION (PIA) - Patrick provided a lengthy explanation of the operational impacts of the Maritime Union of Australia (MUA) Protected Industrial Action (PIA)
- Patrick stated that Enterprise Agreements negotiations are continuing with no timeframe for an expected resolution
IMMEDIATE RAIL IMPACTS - Patrick delivered a high level presentation on investments into rail and other terminal developments
- Patrick claim that PIA has forced the cancellation of selected rail windows reducing throughput by 25%
- Patrick explained that the PIA 6 hour daily reduction in available labour (one hour plus a ban of one hour 'overtime' meal break) has led to a pragmatic preference to larger rail services with less 'shunting' time
- FTA / APSA representatives stated that beyond the current PIA, an imperative exists for direct engagement to ensure that future operating models are co-designed with infrastructure owners and shippers
IMMEDIATE ROAD IMPACTS - Specific reference was made to the notice released by Patrick earlier today (refer below)
Patrick is continuing to be impacted by MUA imposed protected industrial action. This action results in 3 hours of work bans per day. The MUA imposed work bans are resulting in some carriers being unable to secure enough imports time slots to evacuate containers within the free storage period. The protected industrial action is a legal tool available to the MUA to cause business disruption in order to assert their negotiating position. Given that the protected industrial action is outside our ability to control, Patrick will not be issuing storage waivers or reductions resulting from the MUA imposed stoppages. - FTA / APSA stated that the understanding that storage is imposed to encourage timely removal of import containers and not as means of attracting revenue – in these circumstances, it was unreasonable to apply storage if slots were unavailable as indicated in the above notice
- Patrick stood firm by their position that storage would apply clarifying that adequate slots would in fact be provided, all be it that they may not at the transport operator's preferred receival time
COMMENTARY - FTA/APSA certainly hope that Patrick will honour their stated position of offering adequate slots as any delay in collection from the terminal will not only result in additional storage but will also add the likely imposition of container detention – we encourage members in coming days to advise Tony Vinson as our Head of International Freight and Logistics should storage and/or shipping line imposed container detention apply as a result of slot unavailability at Patrick (please provide screen shots and any other evidence of unavailability of slots / we also recommend any delay in receival be brought to the early attention of the shipping line to increase the likelihood of a container detention concession / waiver)
- FTA/APSA will follow up and support the position of the Container Transport Alliance of Australia (CTAA) that the Patrick "Long Vehicle Fee" be waived to transport operators servicing commodity exporters at this time, as well as importers who have embraced the uptake of rail but are now left to revert to road transportation
- On the basis of economic impacts, FTA / APSA will continue its media campaign and escalation of advocacy for government / Fair Work Commission for intervention.
THIS WEEK'S FTA/APSA MEDIA COVERAGE FTA / APSA MEDIA RELEASE - Port Botany faces gridlock with exporters being the sacrificial pawns in calamitous negotiations between Patrick and unions - READ MOREPAUL ZALAI INTERVIEW ABC NSW COUNTRY HOUR – first 6 mins 30 sec – LISTEN HERETHE LAND - Farmers caught in middle of Port Botany wharf dispute - again - READ MOREMHD - Port Botany facing gridlock over industrial action - READ MOREDCN - INDUSTRIAL ACTION REDUCES PATRICK RAIL CAPACITY AT SYDNEY BY 25% - READ MOREBEEF CENTRAL - Botany rail choke exacerbates Sydney container crisis - READ MOREATN - PUSH FOR URGENT FWC ATTENTION TO PORT DISRUPTION – READ MOREJOC - International-Ports: Sydney's Port Botany faces 'gridlock' amid union rail wrangle – READ MORE |
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