Maritime Union of New Zealand

Our thoughts are with members and friends in Christchurch and Port of Lyttelton following today’s earthquakes. Any news please forward to us.

The Maritime Union of New Zealand has started a relief fund to assist maritime workers and their families affected by the devastating earthquake.

The Port of Lyttelton is closed and the township of Lyttelton has been badly damaged.

DONATIONS CAN BE MADE TO THIS ACCOUNT

Account Name:  Maritime Union of New Zealand  Workers Relief Fund

Account No: 02-0560-0450165-003

Branch: Manners Street, Wellington, New Zealand

Bank: BNZ

International SWIST CODE: BKNZNZ22

Add your name/organization as the reference.

Please email joe.fleetwood@munz.org.nz if you require acknowledgement of your donation.

Thank you for your support.

The rundown of New Zealand coastal shipping is threatening New Zealand’s capability to deal with the social and economic fallout from natural disasters.

A massive slip near Kaikoura has blocked the main road and rail link from north to south for the last couple of days and it is not known for certain how long it will take to clear and repair.

The cause of the slip is possibly related to the recent Christchurch earthquake, or heavy rain, but regardless of the cause, it is creating extra problems for transport and logistics in the badly disrupted South Island at a crucial time. Heavy trucks are diverted through the Lewis Pass, hundreds of kilometers off their normal route.

KiwiRail is now considering shipping freight to South Island ports other than Picton, to reach Christchurch faster.

Maritime Union General Secretary Joe Fleetwood says the neglect of coastal shipping has led to a “blind spot” in New Zealand’s transport mix.

“We’re an island nation dependent on shipping that has allowed its own shipping capability to vanish due to bad policies, and we are seeing now why this is a bad idea.”

He says the Maritime Union has argued for many years that over reliance on land transport and especially trucking was short-sighted.

“Unfortunately we have had little progress and the current Government is only interested in heavy trucking. We no longer have the coastal shipping capability to deal with the problem.”

Due to New Zealand’s geography, reliance on land based transport modes running down narrow and easily disrupted transport corridors was a dangerous weakness.

The Christchurch – Picton road and rail link was the only convenient land route from North Island to the majority of the South Island’s cities and economic hubs.

Mr Fleetwood says if there was a fleet of New Zealand vessels available, they would be able to quickly respond to such a situation if required, either for emergency relief or simply to ensure the supply chain was not broken. There are only a very small number of New Zealand freight vessels working on the coastal trade.

Most coastal cargo is now dominated by overseas vessels which work to tight fixed international schedules based on the interests of their owners, rather than any local concerns.

Mr Fleetwood says that the concerns about a Wellington earthquake were still extremely valid.

“If we look at New Zealand’s capital, it is totally dependent on a couple of access routes, and if these were blocked, shipping might provide the only lifeline.”

The Maritime Union was calling on the Government to remove policies which disadvantaged New Zealand shipping and included the “blue highway” as a key element of the transport mix.

The Maritime Union has dismissed comments by global shipping line Maersk about the merger of Port of Lyttelton and Port of Otago.

The two ports announced a planned merger of operations yesterday, subject to approval by the Chamber of Commerce.

Maersk New Zealand managing director Julian Bevis was reported today as saying he had concerns about the “dominance” of the new port structure and how this would affect prices, services and market competition.

Mr Fleetwood says it is hard to take such concerns with a straight face.

“Maersk is a massive operation, the world’s largest shipping and container terminal conglomerate, and they must really be short of things to worry about if this is all they can come up with.”

He says that Maersk’s ongoing global growth through mergers and acquisitions indicated that they had no concerns with any effect on competition by their own operations.

Mr Fleetwood says the goal of any capitalist corporate like Maersk was to dominate the market and reduce their risk and exposure to competition.

“Let’s face it, the reality is that they are the ones dominating the market and threatening competition, not two ports in the South Island of New Zealand.”

Mr Fleetwood says the problem with New Zealand ports was the exact opposite of Mr Bevis’ claims.

“New Zealand ports have long been played off against each other by powerful shipping companies, and even large local corporates such as Fonterra.”

This has resulted in serious disruption to regional ports, which had many negative implications for New Zealand’s economy and social stability.

Mr Fleetwood says the Maritime Union was cautiously optimistic about the merger between Port of Lyttelton and Port of Otago.

“Obviously it is early days, but ports working together like this could have benefits, as long as it does not lead to any regional ports being undermined.”

He says the Union would like to see ports remain under public ownership, but also come under some form of national co-ordination, a concept which the Union calls “Kiwiport.”

“Ports are not just another business, they are key infrastructure, and the gateway for New Zealand exports and imports. They need to be operated in the national interest.”

The Maritime Union had been active in the Keep Our Port Public campaign in 2006 during an unsuccessful attempt to part-privatize Port of Lyttelton through a deal with global terminal operator Hutchison.

The Maritime Union of New Zealand has offered qualified support to the merger of Lyttelton Port Company and the Port of Otago announced today.

Maritime Union General Secretary Trevor Hanson says the Union is a strong backer of ports remaining in local control to preserve employment and business opportunities.

“We are pleased to see local control as the Union has long been opposed to the loss of key infrastructure to overseas interests.”

Mr Hanson says the relationship between the new structure and the Ports of Timaru and Southport (Bluff) needs to be looked at.

“It is our view that any process should involve other ports in the region, New Zealand cannot afford to have port rationalization disrupt local economies and cause problems at a time of global recession. Ports are not ordinary businesses – they are the essential part of the supply chain between New Zealand and the global economy.”

Mr Hanson says the Union is watching developments closely as it is concerned to about members jobs.

“Obviously this announcement will mean the long talked about process of port rationalization is now well underway, but we have to ensure the process is carried out in a sensible way to minimize any insecurity or confusion.”

Mr Hanson says the opportunity is there for a national ports plan and some form of national ownership to avoid the tendency to parochial competition and duplication of resources under the current model.

“Could it be time to consider KiwiPort?”

He says the current world financial crisis makes the Port Chalmers-Lyttelton announcement all the more relevant.

Mr Hanson says the move is a natural fit for recent moves by the Government to encourage domestic coastal shipping.

“The only caution we have is that employees of these companies are given every consideration in retaining employment within any new structure that evolves.”

The Maritime Union says a hunger strike by striking Ukrainian crew members in Lyttelton is a “symptom of the disease of exploitation in the fishing industry.”

Four crew members of the eight crew remaining aboard the fishing vessel “Malakhov Kurgan” are locking themselves in a cabin and are going on an indefinite hunger strike.

They are protesting about not being paid the wages that are owed to them under New Zealand law.

Maritime Union General Secretary Trevor Hanson says the Union is concerned for the men’s wellbeing, but the crew involved were “becoming desperate.”

“We have concerns for their safety if they return home.”

The fishing vessel is laid up in Lyttelton after mechanical problems forced it to abandon fishing.

Other crew members have returned home after accepting payments, but Mr Hanson says deals brokered by the Department of Labour are being investigated by the Union.

“All crew should be paid at least the minimum wage and we don’t believe they have been, and we have not yet seen anything from the Department to change our mind.”

Mr Hanson says the crew are employees of a state-owned Ukrainian fishing company working in a joint venture with New Zealand company United Fisheries.

“There seems to be some confusion about who the actual employer of these crew members is – but regardless, the crew are entitled to no less than the minimum wage.”

He says the whole situation is a shameful reflection of New Zealand treatment of overseas workers.