Silence surrounds Port Hedland strike

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From Reuters today:

Teekay Shipping took part in Australian government-sponsored mediation talks on Tuesday to avert industrial action by tugboat operators that could halt a quarter of global seaborne iron ore exports.

There were no immediate comments on any outcome from the talks…A second round is due to take place in June.

If there is no resolution, one way the government could halt a strike by arguing the action would hurt Australia’s economy.

Teekay could look at replacing deckhands with non-union workers, but people familiar with the issue said a lack of trained replacements would rule that out.

…The engineers, represented by the Australian Institute of Marine and Power Engineers, are voting on a plan to strike for up to two days, with the ballot result due on June 10. Tugboat captains, represented by the Australian Maritime Officers Union, hold a ballot due on May 30.

All crews work 28 days on, then get 28 days off. The deckhands want four weeks of leave on top of that and are pressing for pay equivalent to 70 percent of the A$220,000 that masters earn, up from A$135,000 a year.

About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.