The effect of the Auckland ports strike

The strike by about 265 of the 557 staff is expected to affect cargo worth $100 million. Both the Fergusson and Bledisloe container terminals are closed, but non-container operations and the company's inland ports are not affected.

The general wharves can handle a small amount of container traffic but 85 per cent of the port's container capacity is out of action.

Last-minute negotiations yesterday between the port and the Maritime Union of New Zealand failed to avert the strike. In negotiations that have been going on since April, the union is seeking a pay rise of up to 4.9 per cent and allowances including a week's extra holiday.

Ports of Auckland claims this will add 10 per cent to 15 per cent to its costs.

It gave the workers a 3.25 per cent pay rise, without their permission, but did not backdate the increase.

Union advocate Dennis Carlisle said the port had lifted its offer yesterday to between 3.25 per cent and 4.5 per cent including some back pay, though not for the full amount of time.

But if we had taken it back to the rank and file we know for sure that they would have rejected it.

Ports of Auckland managing director Jens Madsen said the union had not been prepared to move from its position.

We indicated a degree of flexibility, but the feedback we got was not good.

The strike is disrupting shipping lines and exporters and importers. Mr Madsen said one shipping line was speeding up its ships to arrive earlier, other lines would delay their services, and one or two would skip Auckland.

There will be more ships in the harbour toward the end of the week, but we are quite certain that we can handle them efficiently with a minimum of delay.

We hope we will not lose any long-term business.

Importers Institute chief executive Daniel Silva said that with importers gearing up for Christmas, the strike had come at the worst possible time.

Two days is not going to kill anybody, but if it results in more strikes coming along it will become a big concern.

Export New Zealand chairman Jon Mayson said: It obviously impacts on New Zealand as a whole.

One could argue that there will only be a two-day delay for goods, but that's just not good enough.

When we need to see our foreign earnings continue to flow this is the last thing we need.

The union is planning more strikes if an agreement cannot be reached. It has already issued a notice for a 3.25 hour stoppage, highlighting the port's 3.25 per cent pay rise, from 10am next Tuesday, and is looking at two more short strikes in the next few weeks.


Source: Stuff.co.nz