Supermarket strike broken
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Woolworths' warehouse strike has ended, but not before shelves and patience ran dry.
Woolworths has reached a deal with the United Workers Union (UWU), bringing an end to a prolonged industrial action that disrupted its supply chains and left some outlets short on stock.
The agreement, announced over the weekend, follows a 17-day strike involving over 1,500 workers across four key distribution centres in Victoria and New South Wales.
The resolution came after workers voted to accept revised terms addressing their concerns over performance metrics and wages.
The dispute primarily focused on the retailer's ‘Coaching and Productivity Framework’, a system that tracks worker performance, sparking fears of punitive measures for failing to meet strict productivity standards.
The UWU has emphasised the importance of the changes secured through negotiations.
A new clause will prevent workers from being disciplined for not meeting monitored pick rates, acknowledging individual capacity and safety concerns.
The union also announced wage increases exceeding inflation rates as part of the agreement.
UWU National Secretary Tim Kennedy commended the workers for challenging what he described as “one of the most significant threats to worker safety and wellbeing as we enter a new AI-surveillance era of work”.
He highlighted the broader implications of the agreement, stating it was about “the right of workers to have input into how AI algorithmic systems surveil them”.
Woolworths CEO Amanda Bardwell confirmed the company's commitment to restoring supply lines and replenishing shelves with just over two weeks remaining before end-of-year holidays.
Bardwell acknowledged the challenges posed by the industrial action, estimating a $140 million financial impact to date.
“Turning back ‘on’ such a large part of our supply chain will mean it will take some time for our stores to look their best and we’ll be ramping up as much as we can to get products to the stores where they’re needed most,” Bardwell said.
The strike's resolution is expected to ease shortages of groceries and liquor products experienced in Victoria, the ACT, and parts of New South Wales.
Woolworths also pledged to ensure its distribution centres, including the Melbourne South Regional Distribution Centre and the Wodonga site, would resume full operations promptly.
The industrial action underscored growing tensions over workplace surveillance and productivity tools, reflecting broader debates within the logistics sector.
Critics of the ‘Coaching and Productivity Framework’ likened it to practices employed by industry leaders like Amazon, raising questions about the ethics of algorithmic management systems.
The UWU’s success in securing changes to these measures has been praised by labour advocates as a significant victory for workers navigating the pressures of digital surveillance in the workplace.
The strike's financial and reputational impact adds to the challenges faced by the retailer, which has been grappling with competition, declining market share, and regulatory scrutiny.
