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Potential Impact of Woolworths Warehouse Workers Strike on Key Products

2 hours ago
2 hours ago

Woolworths Workers Strike Threat: Potential Impact on Essential Products

Key Points

  • United Workers Union members voted to take indefinite strike actions in four Woolies warehouses.

  • Between 1,500 and 1,700 workers will be involved in the potential strikes.

  • One of the issues the workers want to be addressed is the company’s worker-performance management program.

Toilet paper, bread, butter, milk, eggs, and alcohol are just some of the products that could be impacted by potential Woolworths worker strikes leading up to Christmas.
United Workers Union (UWU) members voted on Tuesday to take indefinite strike actions in four Woolies warehouses in Victoria and NSW towards the end of next week unless they reach a deal with the supermarket giant.

UWU has three main demands:

  • A change in the company’s performance management program, which they believe is unsafe

  • Equal pay for workers with similar tasks

  • A wage rise above the rate of inflation.

UWU national secretary Tim Kennedy told SBS News that Woolworths “don’t seem to be prepared to acknowledge the fundamental dignity of their workers or of their customers”.

The vote came after the workers had stopped working for one hour in three distribution centres earlier in the week.

Kennedy said that there has never been a “potential industrial action on this scale before in supermarket warehouses in Australia”.

Supermarkets will ‘be affected in the lead-up to Christmas’

Between 1,500 and 1,700 workers will be involved in the potential strikes in warehouses in western Sydney, western Melbourne, south-east Melbourne and on the NSW/Victorian border.
“We’ve never had four warehouses take industrial action together. The effect will be significant down the entire east coast of Australia. These warehouses move something like five million cartons a week,” Kennedy said.

“If those things aren’t moving, then supermarket supply will be affected quite dramatically in the lead-up to Christmas. It’s the busiest time of year for Woolworths, and so that will have a big impact.”

A spokesperson for Primary Connect, Woolworths Group’s supply chain arm, told SBS News: “We have not received any formal notice of further industrial action from the union after one-hour work stoppages earlier this week”.
Kennedy said industrial action might affect various products such as “bread, cereals, toiletries, toilet paper, milk, eggs, butter, and all the necessities that you need to get from the supermarket”.

United Workers Union members voted on Tuesday to take indefinite strike actions in four Woolworths warehouses in Victoria and NSW after stopping work for an hour in three distribution centres earlier in the week. Credit: United Workers Union




As one of the warehouses delivers alcohol to BWS and Dan Murphy’s outlets, there are also concerns about an effect on the supply of alcohol.

Woolworths said it has a backup plan in case the strike intensifies and has noted that the rest of the supermarket’s 16 distribution centres will continue operating.

What are the workers demanding?

One of the issues the workers want addressed is the company’s worker-performance management program — known as ‘the framework’ — which it uses across its warehouses.
The union says the company wants workers to maintain 100 per cent adherence to its set pick rate — the number of orders processed over a period of time. Total adherence to the pick rate was previously a goal rather than a requirement.
“[It] is punitive, it’s unsafe, and it’s being used to discipline and potentially terminate people. We want the company to stop that because it’s not a way to treat people,” Kennedy said.

Primary Connect introduced the framework in early 2024. In a memo to its staff, the supermarket giant said it was “intended to standardize our approach to managing performance across all of our distribution centers”.

Primary Connect’s spokesperson said the framework “is intended to enable us to work with each team member to the best of their ability to ensure a fair approach to standards is applied to any personal circumstances or abilities”.
According to the spokesperson, less than 2 per cent of the workers have experienced coaching or retraining to improve productivity under the framework.
UWU is also demanding pay standardization among workers and a wage rise above the rate of inflation.
“We want workers to be paid the same, for the same work that they perform in the Woolworth’s network,” Kennedy said.
The union wants all workers to be paid at least $38 per hour in the first year, “with percentage wage increases in following years and a national agreement so that workers are paid the same pay for the same work”, he added.

“The workers’ wages need to go forward above inflation so they can actually improve their position in the world.”

The Primary Connect spokesperson said: “We have already put forward several offers with competitive pay that is above industry standards, above local market rates, and well above the award.”
In June, almost 100,000 Woolworths workers voted for a 3.75 wage increase, one of the largest Enterprise Bargaining Agreement (EBA) votes in history.
Kennedy said workers “want to reach an agreement on fair and just terms. And that’s important. It is up to Woolworths now, and it’s well within their capacity to do something here”.

“If we can’t reach an agreement, strike action will be ongoing, and it will impact Christmas.”

Conclusion

The potential strike of Woolworths workers could have far-reaching implications on the supply of essential products, especially during the busy Christmas season. As negotiations continue between the United Workers Union and Woolworths, the outcome remains uncertain. Both parties must work towards a fair resolution to avoid disruptions in the supply chain and ensure the well-being of workers.

FAQ

What products could be impacted by the potential Woolworths worker strikes?

Toilet paper, bread, butter, milk, eggs, alcohol, and other essential products could be affected by the potential strikes, leading to disruptions in the supply chain.

What are the main demands of the Woolworths workers?

The workers are demanding a change in the company’s performance management program, equal pay for workers with similar tasks, and a wage rise above the rate of inflation to improve their working conditions and standardize pay across the network.

Title: The Rise of E-Commerce in the Post-Pandemic World: A Comprehensive Analysis

Introduction:
The COVID-19 pandemic has significantly accelerated the shift towards online shopping, with e-commerce experiencing unprecedented growth. In this article, we will delve into the reasons behind this surge, the key players in the e-commerce industry, and the future outlook for online retail.

The Impact of COVID-19 on E-Commerce

The COVID-19 pandemic has reshaped consumer behavior and forced businesses to adapt to the new normal. As lockdowns and social distancing measures were implemented worldwide, traditional brick-and-mortar stores faced closures, leading to a surge in online shopping. Some key factors contributing to the rise of e-commerce during the pandemic include:

1. Increased reliance on digital channels for shopping due to restrictions on in-person retail
2. Concerns about health and safety, prompting consumers to prefer contactless shopping options
3. Shift towards remote work and online learning, leading to more time spent online
4. Rise in demand for essential goods and groceries, driving e-commerce sales

Key Players in the E-Commerce Industry

The e-commerce industry is dominated by a few major players who have capitalized on the surge in online shopping. Some of the key players in the e-commerce space include:

1. Amazon: The e-commerce giant has seen record-breaking sales during the pandemic, further solidifying its position as a market leader.
2. Alibaba: The Chinese e-commerce platform has also experienced significant growth, particularly in the Asian market.
3. Walmart: The retail giant has ramped up its e-commerce efforts to compete with Amazon and attract online shoppers.
4. Shopify: The e-commerce platform has gained popularity among small businesses looking to establish an online presence.

Future Outlook for E-Commerce

As we look towards the future, it is clear that e-commerce will continue to play a significant role in the retail landscape. Some trends and developments to watch out for in the e-commerce industry include:

1. Continued growth in online sales as consumers become more accustomed to shopping online
2. Expansion of omnichannel strategies to provide a seamless shopping experience across physical and digital channels
3. Focus on sustainability and ethical practices in e-commerce operations to meet consumer demand
4. Integration of advanced technologies such as AI and AR to enhance the online shopping experience

Conclusion:
The rise of e-commerce in the post-pandemic world has transformed the retail industry and paved the way for a new era of online shopping. With key players driving innovation and consumer preferences shifting towards digital channels, the future of e-commerce looks promising.

FAQs:

1. How has the pandemic impacted e-commerce sales?
The pandemic has led to a surge in e-commerce sales as consumers turn to online shopping for convenience and safety.

2. Which e-commerce platforms have seen significant growth during the pandemic?
Amazon, Alibaba, Walmart, and Shopify are among the key players that have experienced significant growth in the e-commerce industry.

3. What are some trends to watch out for in the e-commerce industry?
Trends to watch out for include continued growth in online sales, expansion of omnichannel strategies, focus on sustainability, and integration of advanced technologies.

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