Victorian plant workers win against dairy giants, avoiding further strikes

The “biggest dairy strike in living memory” has come to an end, with a deal struck between Victorian plant workers and dairy processors on Thursday avoiding a further six days of industrial action.

More than 1400 dairy workers walked off the job for two days last week at 13 sites across the state, disrupting the supply of dairy goods and sparking fears of milk shortages and purchase limits.

Workers had threatened to launch another six days of strikes starting on Saturday.

After lengthy talks on Thursday the United Workers Union (UWU) reached an in-principle deal with dairy giant Fonterra, securing pay increases and “secure, sustainable” jobs.

Workers secured a first-year pay rise of 5 per cent, which doubles the 2.5 per cent increase accepted during the pandemic, and pay rises of 12 per cent over three years. This is up from 10.5 per cent across the three years before the strike.

Fonterra has offered a 5 per cent increase in the first year, followed by 4 and 3 per cent increases in subsequent years.

UWU national secretary Tim Kennedy said the workers who undertook industrial action showed “great courage in standing up to large multinational dairy companies”.

“They were fighting not just for themselves but for secure jobs in regional communities where every dollar they spend goes back into those communities,” Mr Kennedy said.

“Their fight also gave a national platform in the battle for profitable companies to pay a fair share of their profits to help workers address the cost-of-living crisis.”

As well as a pay rise, plant workers secured five days of paid emergency services leave at both Saputo and Fonterra, allowing workers, who largely work in regional areas, to volunteer to fight against natural disasters.

Workers also won improved personal leave and shift allowances.

“The strike action has shown dairy workers are prepared to stand up and fight for their place in the dairy industry and the importance of the dairy industry in their local communities,” Mr Kennedy said.

“We are also calling on the federal and state governments to include our voice at the table when major issues relating to the dairy industry are considered.”

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The Transport Workers Union (TWU), which supported the milk tank drivers’ strike against dairy giant Saputo, reached a “landmark in-principle deal” last week.

The TWU hailed the agreement as the “biggest win in the last decade”.

“(This deal) secures strong regional jobs and solidifies strong wage growth and conditions that will take workers into the future,” the union said in a Facebook post.

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