Industrial action in support of a new wages and conditions agreement now looks unlikely by the largest union at the Kimberly-Clark Australia Millicent Mill.
The union representing the interests of around 230 ‘blue collar’ and ‘white collar’ workers has been seeking a pay rise of 9.25% over the coming three years.
This equates to a 4% rise in the first year, 3% in the following 12 months and then a further 2.25%.
Other “sticking points” have been the pay and conditions to be provided to any newcomers to the mill’s workforce.
The parties have been deadlocked in negotiations for a new enterprise agreement for over two years since the previous one expired at the end of 2020.
However, Craig O’Connor who heads the Millicent sub-branch of the Pulp and Papermakers division of the Construction, Forestry, Mining and Energy Union is now hopeful of a satisfactory resolution to the negotiations without the need to resort to protected industrial action.
“We met with the company representatives just before Christmas and reached an in-principle agreement,” Mr O’Connor said.
“We are due to meet with them again and we are hoping we will then be in a position to put the new enterprise agreement to our CFMEU members for ratification.”
In keeping with the legislation, the CFMEU had applied to the Fair Work Commission for permission to undertake protected industrial action.
At a hearing in Melbourne in November, Fair Work Commission deputy president Richard Clancy authorised the Australian Electoral Commission to undertake a secret postal ballot last month (December) of the 230 local CFMEU members.
The outcome of the ballot was strong support for a variety of industrial actions if necessary, including ‘snap strikes’ and overtime bans.
The remainder of the mill’s 400-strong workforce are either members of two smaller ‘blue collar’ unions, KCA staff or contractors.
The SE Voice has sought a response from KCA management.
It has long been the policy of KCA management to refrain from extensive public comment while wage negotiations are under way.
However, a company spokesperson did confirm that an in-principle agreement with the union had been achieved.
Meanwhile, the Millicent Mill did not operate for two days late last month but this was due to the customary Christmas shut-down.