Lyttelton port workers say they are disappointed with an Employment Court decision allowing Lyttelton Port Company to proceed with a restructure that will remove “highly experienced foremen” from the waterfront.
The Maritime Union and Rail and Maritime Transport Union are considering their response to the judgment, which was released in Christchurch on Friday.
The decision follows an interim injunction in early July that temporarily halted the restructure, and an earlier ruling from the Employment Relations Authority which found LPC had breached its obligations.
LPC plans to cut 24 full-time foremen and at least 20 relieving foremen covered by the collective agreement, replacing them with 21 new roles on individual agreements.
In the judgment, the court found the company had consulted with employees in good faith, and that while the restructure would result in significant job losses, LPC had a “genuine business reason” for the changes and had not acted in a manner that was unjustifiable in the circumstances.
The court acknowledged the unions’ concerns about safety and the loss of institutional knowledge but concluded those issues did not override LPC’s operational decision-making powers.
MUNZ Lyttelton Branch President Gerard Loader said the decision was a blow to port safety and to relationships between staff and management.
“This restructure will remove the foremen who are the last line of defence against tragedy on our wharves. We are concerned at the collapse of the relationship between the workforce and an aggressive management, which is undermining the future of the port,” Loader said.
He compared the situation with Port of Auckland, where unions and management had recently achieved a turnaround under chief executive Roger Gray, a former LPC CEO.
“It would be a bad outcome if Lyttelton had to go through the same painful destructive process that POAL did for many years, before a new and progressive approach was put in place.”
RMTU Lyttelton Branch Secretary Mark Wilson said the ruling, while disappointing, was not unexpected.
“A good employer does not operate by minimum legal requirements, which LPC management have now admitted in court is their standard,” Wilson said.
“LPC’s approach is not aligned with the CCHL statement of intent, and we will continue to hold the company to account for its failure to act as a good employer.”
The unions have called on the LPC board and its owner, Christchurch City Holdings Limited, to commit to a cooperative relationship. They say they remain committed to defending members’ jobs, ensuring a safe workplace, and keeping the port in public ownership.
Nigel Foster, Chief People and Capability Officer, LPC said “Lyttelton Port Company is pleased with the Employment Court’s findings and the decision to lift the interim injunction and allow the proposed changes to the Lyttelton Container Terminal to proceed.
