Australian dock strike holds up U.S.-bound cargo

By Staff -- Logistics Management, 6/1/1998

Australian dockworkers who have been engaged in a months-long labor dispute with a major stevedoring company there have found sympathy in the United States. In support of their Australian counterparts, members of the International Longshoremen's and Warehouse Union (ILWU) at the Port of Los Angeles refused to discharge cargo from the Columbus Canada, which had been loaded by non-union labor in Australia. The ship remained at anchor offshore for 18 days as a result.

The Australian dispute revolves around more than 1,400 stevedores who were fired in April by employer Patrick Stevedoring. Patrick, which said it was on the verge of bankruptcy from the high cost of using Australia's notoriously inefficient unionized dockworkers, fired the men after they had been on strike for a month. The company then turned to non-union labor and outsourcing to maintain its business, which has been disrupted by union demonstrations and attacks on replacement workers.

The London-based International Transport Workers' Federation, which represents longshoremen in a number of countries, ordered its members not to handle ships that were loaded by non-union replacements in Australia. Patrick sought an injunction against that action, which at first was granted but last month was overruled by a court in London.

The Columbus Canada finally docked on May 26. The ship's owner, Columbus Line, which had filed suit against the ILWU on May 14, dropped its proceedings when union members agreed to unload cargo from New Zealand. The ship has since returned to Australia, where it will be discharged by union workers. Perishable cargoes that no longer can be sold will be disposed of, and shippers will have to file claims against the carrier. The remaining cargo will be reloaded by union workers for return to the United States. Meanwhile, Columbus redeployed two vessels to the West Coast to fill the gap left by the Columbus Canada's troubles.