Comprehensive Report: The NSW Train Workers Industrial Dispute - 2018

This report examines the NSW Train Workers industrial dispute of January 2018, initiated by the Rail Tram and Bus Union (RTBU) due to disagreements over pay and working conditions with the NSW government and Sydney Trains. The conflict involved demands for a 6% annual pay increase versus the government's 2.5% offer, leading to industrial action. The report details the points of conflict, including the refusal to negotiate a fair enterprise agreement, inadequate pay, and concerns over worker safety. It explores the relevant industrial relations theories, particularly the pluralist theory, which emphasizes collective bargaining. The dispute ended on March 25, 2018, with a 3% pay rise agreement after the industrial court suspended the industrial action. The report also highlights the dissatisfaction of the workers with the final deal and the transport minister's conduct. The report provides a comprehensive analysis of the dispute, the parties involved, and the theoretical frameworks relevant to understanding the conflict.

Running Head: A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE
A Research report on the NSW Train workers industrial dispute of January 2018
Name
Institution

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 2
Introduction
Industrial relations refer to the interactions between parties under an employment
relationship or agreement. It, therefore, governs the relationship between employees and
employers within the workplace. The interactions are in the form of a bargain or a negotiation,
and in most cases, they result in an industrial conflict or dispute (Cradden et al., 2018). This
paper will provide a report of the New South Wales (NSW) Train Workers Dispute of January
2018. The report will provide a contextual analysis of the industrial dispute by providing an
understanding of the significant points of conflict, the parties involved in the battle and their
relationships as well as the application of relevant theories in the knowledge of the dispute. The
report will also respond to some of the curated ideas from different perspectives of fellow
students.
Part A: Report on the Industrial dispute
The New South Wales Train Workers Industrial dispute occurred on 29th of January
2018 and was announced by the Rail Tram and Bus Union (RTBU). The disputing parties
included the workers working on the train, the Sydney train and the NSW government. The
dispute resulted after failed negotiations over pay as well as improved working conditions. The
union demands were seeking to achieve a 6% annual pay increase for its workers which the
government could not offer as it had brought an offer of 2.5% pay rise annually. The rail workers
were unhappy about the current enterprise agreement and therefore voted to take industrial action
to negotiate a better pay as well as improved working conditions. According to the report of Mr.
Classens, the union had attempted to negotiate an enterprise agreement for six months on behalf
of 9000 workers, but their efforts failed since the NSW government and Train management

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 3
refused to negotiate or bargain on pay as well as the basic conditions that impacted the
employee’s safety. However, the industrial court on 9th of February made a decision that led to
the suspension of the industrial action by arguing that the industrial action was threatened the
welfare of part of the population. It was further alleged that the industrial action was also
threatening to cause significant damage to an important of the Australian economy.
Points of conflict
There were some unresolved disagreements with resulted in the industrial dispute. The
first conflicting point was the refusal of the Sydney train and NSW train management refusal to
negotiate a fair and reasonable enterprise. The Fair work act provides that both employees and
employers should have an agreement on various terms in their engagement and the parties are
supposed to be fair to each other. The refusal to enter into a negotiation with the NSW Train
Management and the government with the employees contributed to employee’s decision to vote
for industrial action. Six months was a long period for engagement, and therefore according to
the argument of Mr. Classens, the union had done their best to bring the parties into a table to
resolve these issues, but their efforts did not bear any fruits.
The second point of conflict was the lower pay the employees received which led to a
demand for an increase of 6% pay rise. The employers were therefore poorly paid and had the
perception that they are not justly rewarded for their input or the work they did. The union, thus,
would represent the interest of the workers and negotiate a better pay rise for its employees. On
the other hand, the government and the NSW train management could only offer 2.5% rise which
was not even half of the demands of the employees through the union. The parties could not,
therefore, come into an agreement or into a bargain to see that the best interests of the parties

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 4
were met. Conflict, hence, arose as a result of failure to reach an agreement as well as a bargain
on an appropriate pay rise. In this case, the parties would have come up with a proper pay rise
that was more considerate for both parties. According to the NSW Workers union Secretary Mr.
Morey, the employees should be compensated for the work they are doing appropriately and not
subject them to unfair treatment. He, therefore, calls the government to consider the
contributions of the employees and not just to save their returns from their hard work without
appreciation.
The third point of conflict was on the working conditions of the workers which raised
concern over their safety over the workplace. Employees need to feel secure and protected in
their workplace and under the Australia labor act, every employee is entitled to work in a safe
environment. Without the assurance of safer working conditions, it is challenging for the
employees to deliver or offer their best services to the commuters and the NSW rail enterprise.
When discussing the demands, the transport minister Mr. Andrew Constance was said to be
arrogant and termed the requirements to be unreasonable and unrealistic and hence did not want
to engage with the union. Therefore the parties were not in good terms to serve the interest of the
workers a situation which led to worsening on the 24-hour industrial strike for the train workers.
The workers, on the other hand, we're asking for fair working conditions something the NSW
government was not willing to negotiate. In order to maintain a good relationship with one’s
nurse, it is important to talk about sensitive subjects such as sex among others. Though one may
feel uncomfortable they should realize that doctors and nurses are used to talking about such
personal matters. Tom became comfortable while talking to the nurse about the sexual problem
he was experiencing that arose from his condition.

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 5
While dealing with a sensitive topic, the nurse was direct and clear aiming at making the
conversation less uncomfortable by trying to be diplomatic. As a result of these points of conflict
and failure to enter into a bargain with the relevant parties, the strike continued to affect the
economy of Australia and create increased challenges to the commuters. The longer the disputes
took before negotiating a deal, the more the situation changed the economy as well as the welfare
of a particular group of people in the country. Despite the decision by the industrial court to
suspend the industrial action, the dispute continued as the union continued to emphasize on the
need to reach bargain or negotiation that would see an improvement in the working conditions of
the employees as well as an improved offer for a pay rise.
The long-running industrial dispute, however, came to an end on 25th March 2018 after a
deal was negotiated and agreed by the workers. Both the NSW Trains workers and the Sydney
Trains voted for a 3% pay raise for the next three years which was central to the demands of the
union. The Union, however, believed that the deal would help them improve the overall working
conditions. The NSW trains workers voted for the deal by 52.8% on the ballot while the Sydney
Trains employees voted for the new deal by 50.8%. Such small margins in support of the deal
raised concerns of the levels of dissatisfaction as the majority of the employees could be said to
be unhappy with the deal. The secretary of the workers union in Australia Mr. Classens argued
that such a small margin in voting showed that the majority of the workers were not satisfied
with the deal. The agreement was then taken to the Fair Work Commission for approval and
implementation.
However, despite the success of the deal that saw to the end of the industrial dispute, the
secretary of the union believed that the minister of transport Mr. Constance was very arrogant in
his engagement with the union and his actions and words were not friendly to the employees.

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 6
There is a need, therefore, to embark on another initiative of restoring good faith among the
disputing parties. The transport minister, however, welcomed the agreement of 3% pay rise and
thanked the union and the workforce for the great support they have continued to give to them
during that difficult and long-running industrial dispute moments.
Relevant theories of Industrial relations
Many people have studied the concept of industrial relations but do not know how they
play a critical role in understanding the motive of each party in a negotiation or bargain. In this
case, four primary theories have been developed including the Marxists theory, the radical
theory, unitary theory as well as the pluralist theory (Aronowitz, 2016). The radical theory
perspective of personal relations at the workplace is that it is necessary but not ideal. The
radicals are of the belief that the existence of such bodies as unions is to profit themselves at the
expense of the workers. This was the case of the NSW government which enjoyed many profits
collected from the train operations compared to the needs of their employees.
The unitary theory of industrial relations emphasizes the codependency of the employees
as well as the employers. An organization is viewed as an integrated, collaborative as well as
friendly organization. This implies that industrial relations should be integrative and undertaken
through collaborative efforts (Clegg, Kornberger & Pitsis, 2015). The unitarist do not support the
idea of having unions as they believe that they serve to distract employees from their
commitment. Marxist theory of industrial relations argues that the modern corporate world still
facing increased capitalism which contributes to the exploitation of workers at the expense of
increased profits been enjoyed by the corporation. They argue that institutions would instead be
governed and controlled by the state. However, the most relevant theory of industrial relations

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 7
and especially in understanding the NSW Workers industrial dispute is the pluralist theory
(Kelly, 2018). The approach emphasizes most on the role the company management team, the
trade unions and champions the value of the collective bargain. The theory recognizes all the
companies operating under their management as well as under the control of trade unions. The
approach is built upon the belief that the primary function of the administration is to coordinate,
communicate and persuade rather than to exercise control and demand.
Based on the pluralist theory of industrial relations, the workers union plays a critical role
in improving the working conditions of the employees by representing their views and concerns
to the relevant bodies (Kaufman & Gall, 2015). The union, therefore, served a critical role of
reinforcing the value of collective bargain that saw to the negation of a deal of 3% which was
more favorable for the parties involved. It is essential for employees to be under the umbrella of
a union as it provides them with an opportunity of been represented as a whole without
necessarily having to go through difficult times at work just because no one was ready to serve
you.
During the conflicting points represented under the industrial dispute, different parties
took different positions during the negotiation. For instance, the government was unwilling to
provide a different offer other than 2.5% of a pay rise. According to them, the demands raised by
the union and workers for a pay rise of 6% were unreasonable. Because of taking such a strict
position the government, as well as the NSW trains management, could not welcome any
negotiation for over six months until the industrial action was voted for by the employees
(Ackers, 2014). In this I believe, based on the argument of the pluralist theory which supports
collaborative and collective bargain, both parties would have sought to have made their demands
a little bit more favorable to each other. This would have given them an opportunity to enter into

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 8
a negotiation by been open to changes. The union’s demands to continue with their 24 hours
strike unless the 6% demand was achieved would have also been done through consultations
before coming up with such a claim. This would have helped them realize the issues facing the
government and probably the fact that collective bargain would still work (Kaufman, 2018). The
position taken by the employees about fair working conditions as an improvement of the existing
agreement was a bit strict as it comprised an evaluation of the current working conditions.
Adjustments would have been made by the workers union by clearly defining the areas which
need to be evaluated since all the requirements could not have been accomplished at the same
time. Such a decision would allow the other parties to think of the best were to achieve and
integrate this idea to the primary or practical works.
Part B: Moderated Discussion of the Industrial Relations (IR) theory
Chosen idea or Perspective
After the proposed industrial action was suspended by the Fair Work Commission, both
parties adopted a pluralist approach where the role of unions advances the interests of employees
but accepts the responsibility to compromise, while management is to achieve organizational
goals in a way that reconciles conflicting interests. Conflict is seen as a resolvable outcome of
the employment relationship (Bray et al., 2018). There was good, fair bargaining with the first
offer of 2.75% rejected, but the counter offers of 3% were accepted. Had the parties continued
with the opposing unitarist v radicalism approaches, the possibility of the resolution was slim.
Evidence-Based Counterargument
According to the Pluralists theory, unions play a critical role in advancing the interest of
their workers or employees. It was, therefore, appropriate that the parties resolved to adopt the

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 9
approach since the negotiations took longer than expected and worsened the situations we were
trying to solve. During the talks by the union with the government and the management of the
NSW trains, the parties had to compromise on their demands to achieve the best fair decision
(England, 2017). In this case, the government and the management of the NSW had to
compromise their desire to maintain the pay rise by 2.5% by settling at 3% which was voted by
the employees. When a conflict arises, and a third party is involved in solving the dispute, his or
her role is to help the parties reach the point of agreement. In this case, there was a fair bargain
that saw the pay rise increase to 2.5%. The industrial dispute would still be a problem which
would have affected Australian economies.
A collective bargain approach was very effective in this case where both parties had to
agree on different offers that would see the growth of employee’s welfare. The dispute would
still be a significant challenge for the transport minister in the country and therefore adopting this
approach may get them well to the next winners (Kaufman, 2018). In my opinion, however, the
government is always adamant to meet employees demands, based on the votes made by the
workers which the results had little margin could have been used as a driving force to get a better
deal. If the union had set a minimum requirement pay rise rate, then the government would strive
to meet the requirements of the union (Strauss & Whitfield, 2018). The collective bargain could
be even better to 4% which would be more favorable to employees. From my experience
working with a particular accounting consultancy company, we experienced workers strike who
was also complaining about the low pay as well as unfavorable working condition. The company
adopted radicalize model which supported the idea of industrial relations but were not ideal. In
conclusion, therefore, the successful negotiation and bargain that saw to the end of the industrial

A REPORT ON THE NSW TRAIN WORKERS INDUSTRIAL DISPUTE 10
action was a result of the adoption of the pluralist theory through collective agreement and is
ready to give up on huge demands.
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9248594

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