Union action at Woolworths distribution centres labelled ‘capricious or unfair’, Fair Work Commission told

Union action outside Woolworths distribution centres in Melbourne have been described as a “gun to the head” of the organisation, the Fair Work Commission has been told.

Lawyers acting for the supermarket giant have applied to the commission seeking orders to force the United Workers Union (UWU) to allow safe passage of non-union workers and vehicles into distribution centres as bargaining negotiations continue.

Marc Felman KC, for Woolworths, said the UWU was continuing to picket outside four distribution centres operated by Primary Connect, with the company “obviously struggling to get goods to stores”.

He labelled it an “obstructive picket” and said it was undermining the collective bargaining process for five distribution centres.

“The picketing is interfering with Coles, sorry Woolworths’, ability to undertake defensive measure,” Mr Felman said.

“There’s a substantial amount of workers at the MSRDC (Melbourne south regional distribution centre) that want to go back to work – that’s been prevented by the obstructive picket.”

Mr Felman said the action was either preventing vehicles and people from entering sites or “having the effect”.

He said the UWU was operating in a universe with no bearing to reality and Woolworths should be entitled to go to bargaining meetings “without a gun to the head”.

Giving evidence, Woolworths’ Scott Paterson said the stores had shut when the action began on November 21 due to safety and staff shortages.

He said about 40 per cent of the distribution capacity had been affected.

The union is taking the action over failed negotiations that led to more than 1500 workers walking off the job indefinitely for better pay and working conditions.

One union representing workers, the Shop, Distributive and Allied Employees’ Association, has endorsed a new agreement with Woolworths, but the UWU has expressed concerns about a productivity framework Woolworths is proposing for warehouse staff.

The dispute has led to empty shelves at supermarkets across Victoria, NSW and the ACT.

Woolworths Group said its sales had already been reduced by $50m since the start of the industrial action.

The hearing continues.