Train workers may have been deprived of more than $32 million, the rail union says, as it pursues logistics firm Qube for underpaid wages and penalties in the Federal Court.
In the case, which comes after 12 months of enterprise agreement negotiations, the Rail, Tram and Bus Union (RTBU) alleges Qube "significantly underpaid" about 180 employees by failing to pay penalties and loading.
NSW locomotive division secretary Farren Campbell said an in-principle agreement had been reached for the repayment of wages, but that Qube had back-flipped at the last minute.
"The company reneged on the offer, essentially telling us they’d only agree to a deal on the proviso that the RTBU agreed to drop this court action, and agree to enshrine the current wage theft practices in an agreement," he said.
“It’s time for the company to own its mistakes, honour the in-principle agreement, or come back to the table and negotiate fairly so the workforce get back to doing what they do best - moving our goods across the country."
Mr Campbell said modelling done by the RTBU showed the 180 employees were underpaid up to $30,000 per year for six years.
In the lawsuit, the union is seeking penalties against Qube, plus orders that the company take steps to find out precisely how much its employees have been underpaid.
Qube is said to have breached the terms of the 2015 and 2019 enterprise agreements by failing to pay casual workers weekend penalty rates, on-call allowances, meal allowances and shift allowances.
The dispute relates to whether the higher rolled-up pay rates Qube offers its staff include these additional penalties and loadings or not.
A company spokesperson rejected the union's challenge to its practice of paying rolled-up rates, and would "vigorously defend" the lawsuit.
“We remain confident in our position that these rolled-up rates replace other entitlements incorporated in the Rail Industry Award," they said.
Employees in locations including Newcastle, Sydney, Wollongong, Bathurst, Port Kembla, Junee and Dubbo have been undertaking industrial action since June 20 because of the ongoing pay dispute.
The Qube spokesperson denied union claims the firm had "locked out" anyone during this time, saying the industrial action had been organised solely by the RTBU.
As part of negotiations, the firm had offered an immediate seven per cent pay rise backdated to April plus further increases of five per cent per year for the next two years, they said.
“These EBA negotiations have dragged on for more than 12 months and we remain committed to resolving this dispute as soon as possible,” the spokesperson said.
The case will be back in the Federal Court on September 5.
