Patrick Stevedores Holdings Pty Ltd v Construction, Forestry, Maritime, Mining and Energy Union
Citation: [2019] FCA 1647
At a glance
- Penalty
- $36,000
What happened
Patrick Stevedores Holdings Pty Ltd initiated legal action against the Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) and the Respondent. The dispute arose from a work stoppage at Port Botany in April 2018, where Patrick Stevedores employees refused to operate cranes due to the absence of usual maintenance workers provided by Kalmar, a contractor. Kalmar's employees were engaged in enterprise bargaining with the CFMMEU. Initially, Patrick Stevedores alleged breaches of the Fair Work Act related to industrial action and adverse actions. However, before the full hearing, the respondents admitted to contravening section 417 of the Fair Work Act.
What was decided
The Federal Court declared that the CFMMEU and the Respondent contravened section 417 of the Fair Work Act by organising industrial action involving a refusal to perform work. The court imposed a penalty of $30,000 on the CFMMEU and $6,000 on the Respondent. These penalties are payable to Patrick Stevedores within 30 days. Other allegations against the respondents were dropped, and the cross-claim was dismissed. No order for costs was made.
What it means for employers
Employers should ensure they have contingency plans in place when relying on contractors or external providers for essential services. The court's decision highlights the importance of understanding the potential impact of industrial action by contractor employees on their own operations and ensuring alternative arrangements are available to maintain productivity.
What it means for employees
Employees engaging in industrial action should be aware of the legal implications, particularly regarding protected industrial action and enterprise agreement expiry dates. A union representative needs to ensure any actions taken comply with Fair Work Act provisions.
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https://www.judgments.fedcourt.gov.au/judgments/Judgments/fca/single/2019/2019fca1647Want more cases like this?
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This summary was drafted from the published decision and reviewed before publishing. It is general information, not legal advice. For your specific situation, speak to the Fair Work Ombudsman (13 13 94) or a qualified lawyer. About these summaries & corrections →