Latest news with #UnitedWorkersUnion
Daily Mail
16 hours ago
- Business
- Daily Mail
EXCLUSIVE How a 'DOUBLE' pay rise is on its way for millions of Aussie workers next year
Low-paid Australian workers could be getting a huge 'double' pay increase of more than seven per cent in 2026 - with the likes of dry cleaners and restaurant staff to be the key beneficiaries. A major employer group has warned the potential pay spike could threaten the jobs of low-skilled workers, given it would follow the Fair Work Commission awarding a 3.5 per cent pay rise to 2.9million workers beginning on July 1 this year. That latest increase applies to workers on awards and the 200,000 Australians on the minimum wage. But a hidden clause in the industrial umpire's decision proposed scrapping a key employment classification, which could come into effect in July 2026. This would automatically grant a 3.6 per cent pay rise to the very lowest paid, regardless of the following annual wage review decision - because these workers will be moved on to a higher pay grade. This pay rise would also be on top of what the commission decides for an upcoming minimum wage increase in 2026-27. If it matched this year's 3.5 per cent increase, it would mean low paid workers are in line for a double-up pay increase of 7.1 per cent. Employer groups have warned the series of pay rises could lead to job cuts. But Tim Kennedy, the national secretary of the United Workers Union which represents the likes of cleaners and hospitality workers, said the minimum wage rise was about helping the lowest paid to survive. 'When workers can't afford rent, food or petrol, the wage floor is clearly too low,' he told Daily Mail Australia. 'The decision is a lifeline, but we'll continue fighting until wages are genuinely liveable for everyone.' Professor John Buchanan, a labour market researcher at the University of Sydney, told Daily Mail Australia the Fair Work Commission had a 'very timid' approaching to making wage decisions. 'They are very keen to ensure that their decisions are not seen as irresponsible and potentially behind a jacking up or a prolonging of high interest rates,' he said. 'The minimum wage and the awards system is about what kind of civilisation we are. 'Wages policy isn't just about economic efficiency and equations in an econometric model. 'This is the signal we send to ourselves and our society about how we treat the most vulnerable in the labour market and by having a wages structure that ensures those at the lowest reaches can live some semblance of a decent life.' Australia's 200,000 minimum wage workers on the existing C13 classification will be getting $24.95 an hour from July 1, following the latest increase. Their weekly pay is going up by $32.10 to $948, which translates into a $1,669.20 annual increase for those putting in a 38-hour week. Those working full-time on the lowest pay will be getting $49,296 a year from next month. There is a 3.6 per cent gap between the C13 classification, which the Fair Work Commission wants to scrap, and the better paid C12 classification, which those on the minimum wage could be transferred on to in July 2026. Workers on the C12 classification will be getting $25.85 a hour from July 1 this year. That equates to $982.20 a week or $51,074 a year. Minimum wage earners, now on $24.10 an hour or $915.90 a week, would effectively have enjoyed a 7.3 per cent wage increase in four weeks' time had the C13 classification been scrapped immediately. The Australian Industry Group's chief executive Innes Willox said the Fair Work Commission's proposed classification change for those on the minimum wage would threaten jobs. 'This would impose major cost increases on many thousands of employers in the hospitality, restaurants, clubs, horticulture and pastoral industries,' he said. 'There is simply no justification for such a large increase in minimum wage rates for kitchen hands, glassies, farm hands, hotel cleaners and similar low-skilled jobs, on top of the annual wage review increase that would also apply. 'Such a move would threaten the livelihoods of many business owners and the jobs of many workers.' But Prof Buchanan said a big wage rise for the lowest one per cent of workers, on the minimum wage, was hardly unreasonable. 'I've been studying, following wages policy now, professionally, since 1985 and I can't remember a time when any employer group ever has said, "This is a sound wages decision",' he said. 'If we had been listening to them for 40 years, people would be living on poverty wages - they basically cry wolf so many times, they lose all credibility when they make that point.' ACTU secretary Sally McManus said lower-paid Australians deserved to be valued at work. 'We welcome the Fair Work Commission's recognition that the real value of award wages should be restored, particularly for lower-paid Australians,' she said. 'Feeling more valued at work creates the working conditions for more productive businesses and a more resilient economy.' A change in classification would affect workers on awards covering manufacturing, hospitality, restaurants, clubs, horticulture and dry cleaning and laundry. Minimum wage workers received an 8.6 per cent pay increase in July 2023 when the old C14 classification was scrapped and something similar could happen in July 2026. The latest 3.5 per cent increase was well above the 2.4 per cent headline inflation rate and above the overall 3.4 per cent increase in wages for all Australian workers in the year to March.
Daily Mail
16-05-2025
- Business
- Daily Mail
Australia's favourite mud cake sold at Coles and Woolworths could vanish from shelves as bakery staff revolt
Fans of an iconic mud cake sold at major supermarkets could see the dessert vanish from shelves as workers at one of Australia's largest bakeries walk off the job. Allied Pinnacle supplies baked goods to more than 3,000 businesses nationwide, including major supermarkets like Coles and Woolworths. The company bakes some of Australia's most beloved treats, including hot cross buns, caramel slices, rocky road donuts, and, of course, the chocolate mud cake. The company has over 20 sites across the country, which includes flour mills, as well as baking and mixing locations. But on Wednesday, workers at Allied Pinnacle's Altona bakery, about 10km southwest of Melbourne 's CBD, walked off the job in a protest of their wages. The company employs approximately 1,300 staff nationwide, with around 150 employees from the Altona site participating in a 48 hour strike. Workers are demanding a 15 per cent wage increase over the next three year after rejecting the company's offer of 11.25 per cent over the same period. United Workers Union Food and Beverage Coordinator Adam Auld said the ongoing cost of living crisis was a key driver behind the industrial action. 'Wage offers with a 3 or a 4 in front of them just don't cut it in the face of food, housing, medical, petrol, school and care costs,' he said. 'Workers need a real wage increase. 'This strike should send a clear message to senior management that workers need real wage increases and respect at a time of chronic financial stress for families.' The United Workers Union and Allied Pinnacle have been locked in protracted wages negotiations since September 2024. Staff at the Altona site are also striking over a significantly lower night shift allowance - 19 per cent compared to the 30 per cent received by colleagues in other locations. 'This has to change and workers in Altona are demanding respect. We're calling on senior management to intervene so we can get back to work,' a worker said. The strike is expected to impact a number of Allied Pinnacle suppliers. Coles has played down concerns of a shortage and assured customers the baked good were not expected to run out anytime soon. 'We know how much our customers love the classic Coles Mudcake, and it forms a central part of celebrations right across the country,' a spokesperson said. 'In good news for our customers, we have plenty of mud cakes.' In a statement to Daily Mail Australia, Allied Pinnacle said they were focusing on supplying to their customers. 'Allied Pinnacle respects the rights of its employees to engage in industrial action and is committed to reaching a fair and sustainable agreement. 'Maintaining supply and service to customers is a key priority, and disruption is not anticipated at this stage.' But Mr Auld said this is only the beginning, and that the union would take further action if no deal was negotiated. 'If there is no movement from Allied Pinnacle then workers will come together to decide on taking further action next week or in the future,' he said.
News.com.au
15-05-2025
- Business
- News.com.au
Iconic sweet treat in jeopardy over worker pay disputes
Sweet tooths will have a bitter taste in their mouths with an iconic supermarket treat being harder to find as workers strike over pay. Food workers behind the iconic chocolate mudcake, as well as other baked goods for many major brands, walked off the job at Allied Pinnacle's factory in Altona North in Melbourne on Wednesday. The strike is a part of a planned 48-hour stoppage. Staff are wanting a 15 per cent pay increase over three years but are being offered increases of 4 per cent, 3.75 per cent and 3.5 per cent each year. 'The makers of the famous Coles chocolate mudcake are on strike,' the United Workers Union (UWU) wrote on social media. 'You've probably eaten what they bake, from Bakers Delight croissants to Woolworths muffins to cafe cookies. At the Altona factory, Allied Pinnacle workers produce baked goods that end up in thousands of stores and bakeries across the country. 'But while the products are everywhere, the workers behind them are being underpaid and disrespected.' As of Thursday afternoon, 150 workers were carrying out day two of the strike to demand fair pay and equal treatment, the statement added. UWU food and beverage co-ordinator Adam Auld said workers were not being offered a fair wage increase in the face of the cost-of-living crisis. 'Wage offers with a 3 or a 4 in front of them just don't cut it in the face of food, housing, medical, petrol, school and care costs,' he said. 'This strike should send a clear message to senior management that workers need real wage increases and respect at a time of chronic financial stress for families.' Almost 15,000 Coles chocolate mudcakes are baked in the North Altona factory each day. Workers are also disputing nightshift allowances, claiming they are receiving 19 per cent while colleagues at other Allied Pinnacle worksites are taking home 30 per cent.
