The festive season is a time of joy, family gatherings, and, of course, the last-minute rush to stock up on all the essentials for the perfect holiday celebration.

But this year, the cheer was almost compromised for many Australians as a pre-Christmas strike loomed over Woolworths, one of the nation's largest supermarket chains.

However, in a turn of events that has many breathing a sigh of relief, Woolworths has managed to secure a deal with its workers' union, effectively ending a strike that threatened to disrupt the holiday season.

Major Woolworths distribution centres are poised to reopen following a deal between the supermarket giant and its workers’ union, concluding a prolonged warehouse worker strike.

Earlier on Saturday, December 7, a group of picketers obstructed access to the Dandenong centre in Melbourne’s southeast, but operations could restart within hours after the agreement was reached between the company and the union.

The United Workers Union clarified that the picketers were not affiliated with them and confirmed that workers from three warehouses in Victoria and one in NSW voted to accept a revised offer after a 17-day strike.

Woolworths distribution centres will reopen after a deal with the workers' union ended a 17-day strike. Credit: Facebook / 7NEWS Melbourne

The union stated that over 1,500 workers and their families had been sacrificing their pay during the strike to secure better wages and ‘to be treated as human beings, not robots’.

Additionally, the union strongly criticised the ‘Woolworths framework’, an algorithmic performance management system that monitored pick rates and, according to the union, endangered employees.

‘The new enterprise agreement won by workers breaks the link between measuring the speed of their work and automatic punishment if they fall behind—a system that effectively attempted to treat Woolworths warehouse workers like robots,’ a spokesperson pointed out.

Following months of negotiations, the union announced it had achieved wage increases exceeding the inflation rate.

Additionally, a new clause will be included in workplace agreements ‘that ensures that the workers will not be disciplined for the speed that they can work at’.

‘Today, warehouse workers at Woolworths have saved Christmas,’ Union Secretary Tim Kennedy said in a statement on Saturday.

‘But more importantly, they have challenged one of the most significant threats to worker safety and wellbeing as we enter a new AI-surveillance era of work…and they have won.’

Woolworths, for its part, has expressed satisfaction with the outcome, having four of its warehouses return to full capacity.

‘We are pleased to have endorsed offers for new terms and conditions and a competitive wage for our team at our four distribution centres that have been subject to indefinite industrial action over recent weeks,’ Chief Executive Amanda Bardwell stated.

The supermarket giant said its priority was to clear products from the distribution centres and restock the empty shelves.

‘Turning back “on” such a large part of our supply chain will mean it will take some time for our stores to look their best, and we’ll be ramping up as much as we can to get products to the stores where they’re needed most,’ Ms Bardwell said.

Over two weeks of industrial action have left thousands of supermarket and bottle shop shelves in Victoria, NSW, and the ACT empty, costing the supermarket chain at least $50 million.

On Friday, December 6, Woolworths marked a legal win, with the Fair Work Commission ruling that the union had been negotiating unfairly with the company and calling the protest picket lines outside its distribution centres ‘unlawful’.

Key Takeaways

• Major Woolworths distribution centres are set to reopen following a deal with the workers' union, ending a 17-day strike.
• The United Workers Union and Woolworths reached an agreement, which includes wage increases above the rate of inflation and a clause to ensure workers are not disciplined for their work speed.
• Over 1500 workers and their families had foregone pay during the strike, seeking better wages and treatment, with concerns about an algorithmic worker performance management program.
• As a result of the industrial action, supermarket and bottle shop shelves in Victoria, NSW, and the ACT have been left empty, costing Woolworths at least $50 million.

We at the Seniors Discount Club would love to hear your thoughts on this resolution. Have you been affected by the strike? What are your views on the balance between technology and fair work practices? Share your stories and opinions in the comments below, and let's discuss the future of work as we know it.

 

[SandyM]

My husband worked at the Mulgrave, Vic. fruit & veg distribution centre for 21 years, until they were all made redundant in October 2020 - right in the middle of Covid. (Woolworths moved that distribution centre to Truganina, the other side of Melbourne, & they wanted new staff at a reduced pay amount.) The worker's redundancy payments were capped at 10 years, even if you'd been working there for 40 years plus, as many had. (So, once again, Woolworths increased their profits at the cost of their workers.) When my husband worked for them, workers had to have a performance of over 100%. They often got reprimanded for only having a pick rate of 120%. How is that even possible? One day, his forklift broke down. He reported this to his Leading Hand (Superior) & waited for maintenance to fix it. He then got into trouble because his pick rate dropped to 80%. It was his Leading Hand who dobbed him in!

 

[Jo Piper3]

My husband worked at the Mulgrave, Vic. fruit & veg distribution centre for 21 years, until they were all made redundant in October 2020 - right in the middle of Covid. (Woolworths moved that distribution centre to Truganina, the other side of Melbourne, & they wanted new staff at a reduced pay amount.) The worker's redundancy payments were capped at 10 years, even if you'd been working there for 40 years plus, as many had. (So, once again, Woolworths increased their profits at the cost of their workers.) When my husband worked for them, workers had to have a performance of over 100%. They often got reprimanded for only having a pick rate of 120%. How is that even possible? One day, his forklift broke down. He reported this to his Leading Hand (Superior) & waited for maintenance to fix it. He then got into trouble because his pick rate dropped to 80%. It was his Leading Hand who dobbed him in!

What a creepy supervisor.

 

[Gunpark]

My Dad worked as telephone technician for PMG as it was then, and Telstra now. He accumulated years of sick leave, both on full pay and half pay, because he was a conscientious employee and didn't take sickies very often. It would have been nice if PMG had paid him even one third of what was due to him when he retired. I don't think he even got a letter of thanks let alone a gold watch.