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Submarine workers in South Australia have commenced strike action and branded current arrangements as a “slap in the face”, as they seek wage parity with other parts of the country.
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Hundreds of tradespeople critical to the survival of Australia’s future AUKUS submarine fleet are calling for pay fairness and walking off the job at government-operated ASC maintenance and sustainment facility on 6 May.
The facility is part of the Osborne Naval Shipyard, where 350 trades and operator support workers are taking protected industrial action over poor pay and conditions. It’s understood that Australian Manufacturing Workers’ Union (AMWU), Australian Workers’ Union, and Electrical Trades Union (ETU) members recently rejected an offer by ASC which was 7 per cent short of parity with their counterparts in Western Australia.
It’s alleged by the unions that ASC workers in Western Australia receive 17 per cent on average more than ASC workers in South Australia, despite Western Australian ASC workers being trained in South Australia and being paid more in the process than by those training them.
The AMWU is seeking ASC address the discrepancy with South Australian wages, according to Australian Manufacturing Workers’ Union SA assistant state secretary Stuart Gordon.
“South Australian workers are performing essential work and critically support the ASC workers in Western Australia. Why are these workers treated any less than those out west?"
“The SA division of ASC fulfils a vital role in Australia’s submarine capability by performing a huge volume of work unlike anywhere else across the country. They are the only team able to carry out the Collins’ deep maintenance or full-cycle docking where the boat is completely stripped down and has its massive diesel engines and main motor removed and refurbished. The WA division of ASC only do the running maintenance of the boats and breakdowns. The SA submarine workers are constantly helping and training their WA colleagues and fixing all the equipment they remove as the SA division has the skills, expertise, and knowledge to undertake these tasks.
“Hundreds of submarine experts work on the Collins Class submarines which are an essential part of Australia’s current naval capability. It’s a slap in the face for trainers in SA who are being paid less than those they are training. They should be paid more, but they’re just asking to be paid the same. These workers deserve respect.
“ASC management needs to get serious about attracting and retaining skilled workers in South Australia so that they’re not losing them to other states like WA.
“Australia’s future nuclear-powered submarine fleet will serve an important role in our national security. The maintenance crew responsible for keeping these submarines in operation should be paid accordingly for the important work they do.”
The AMWU also stated that workers are struggling amid a cost-of-living crisis and AMWU has been in long and patient negotiations with ASC since November 2023, despite ASC managing director and chief executive officer Stuart Whiley recently receiving a 31 per cent wage increase.
ASC has responded to the industrial action and stated they acknowledge the protected industrial action taken by the AMWU, ETU and its members today and recognises their right to take this action.
ASC has been in exhaustive negotiations with the unions and their representatives over the last six months and has made a number of offers, taking into account the economic and environmental cost factors of the two locations. The unions and their members have rejected all of these offers. ASC has also suggested engaging the services of the Fair Work Commission to review employee claims and mandate an outcome, however the unions and their members have also rejected this.
“Like all national companies, there are instances where ASC’s South Australian workforce transfer knowledge to their Western Australian counterparts in all areas of our business, to support operational requirements,” the ASC said.
“ASC has a workshop capability in Osborne, South Australia, that supports all in-service submarines nationally and internationally, therefore providing parts to our Western Australia operations is a business-as-usual activity.
“ASC will continue to maintain good working relationships with both the unions and our workers as we continue to negotiate in good faith.”
In March 2024, ASC was announced as the sustainer and joint builder of Australia’s nuclear-powered submarines.
“Despite ASC’s best intentions, we have been unable to reach an agreement with the unions and their members in regard to their claims. We will continue to negotiate with the unions and our workers in good faith, to achieve a mutually beneficial outcome,” Stuart Whiley said.
