The article looks into a dispute between the crew of an oil tanker and Caltex Australia. Caltex Australia is moving away from Australian crew members to an international crew members as they feel that it would be much cheaper for the company as Australian wage rates are higher. This has resulted in frustration of the Australian crew members where they refuse to set sail unless they are told about the redundancy terms and conditions.
1.1 The parties to employment relations
In this article there are few different parties involved which are the Caltex Australia group, the crew members or the workers, Maritime Union and Fair Work Commission. The government is also involved in this article as they want to ensure that both parties can resolve the …show more content…
There was a change in the Coastal Trading Act in recent times where the government had opened up their coastal trade to foreigners. (Vallely & Brown, 2015) The previous Coastal Trading Act meant that foreigners were not allowed or their access was limited when doing business within Australian waters but now with the changes in the Coastal Trading Act, it means that foreigners are allowed to operate more freely. Australian shipping industry is a highly paid industry and this means that foreign shipping companies that are paid much lower will be able to easily get into Australian territory and make a mark as their wages are comparatively much lower. (Austrade, 2014) Trade unions and employees argue in the article that, Caltex Australia moved from Australian workers to foreign workers due to the changes in this Act and blames the government for doing so. However, the government defends their stand on the Act and believes that the Fair Trade Commission will be able to determine which party is doing wrong after the case is submitted to the