Supply chain disruption looms as Australian transport workers vote on action

Australia faces the prospect of coordinated freight disruption in the weeks ahead, with protected action ballots underway that could ultimately see more than 10,000 transport workers take industrial action.

The threat follows a long-term strategy by the Transport Workers’ Union (TWU) to maximise workers’ collective bargaining power.

According to The Australian, the TWU has aligned the expiry dates of enterprise agreements across major transport and logistics operators, meaning negotiations and any resulting industrial action would occur at around the same time.

At the time of writing, workers at FedEx, Border Express and K&S were voting on protected industrial action.

The Fair Work Commission has also approved protected action ballots at Linfox and BevChain, with workers due to vote by 31 August, while Team Global Express, PFD, SCT and Ceva could also face disruption if enterprise bargaining negotiations fail.

The first round of industrial action could begin as early as September, with measures under consideration including unlimited 24-hour strikes, shorter stoppages and bans on overtime, selected duties and non-safety-related paperwork.

The TWU is reportedly seeking annual wage increases of around four percent from major employers and first-year increases of between 15 and 18 percent at lower-paying second-tier operators, reflecting its push to close the pay gap between those businesses and the industry’s better-paying majors.

The union’s claims also include wage top-ups if pay increases fall below accumulated inflation over three years, superannuation contributions of 15 percent by the end of each agreement, more full-time positions and protections against contracting out.

The TWU is also pursuing future-of-work provisions covering the introduction of new technology, employee consultation, training and redeployment, access to workplace data and continued human oversight.

TWU National Secretary Michael Kaine confirmed the union had deliberately aligned negotiations across major transport companies to increase workers’ collective influence.

“Any company that can’t come to an appropriate arrangement will face protected legal industrial action at around the same time,” he told The Australian.

“That will mean disruption. It could mean that significant parts of Australia’s supply chain stop.”

Australian Industry Group Chief Executive Innes Willox criticised the coordinated strategy and the union’s bargaining demands, according to The Australian.

“Such a reckless plan shows complete disregard for the challenges and pain being felt by many road transport businesses and the broader economy,” he said, adding that the industry was “still navigating incredible uncertainty and pressures flowing from the shocks to our economy created by the conflict in the Middle East”.

The potential disruption comes as separate research reveals deeper concerns about the long-term sustainability of Australia’s transport workforce.

The Australian Fleet Safety & Compliance Benchmark 2026, published by fleet technology provider Microlise, found 44 percent of Australian transport and logistics professionals were considering leaving the industry within the next five years.

Based on an independently conducted survey of 200 senior transport and logistics professionals, the research also found 42 percent said working in the sector had affected their mental health, while 68 percent said their drivers felt undervalued by the public.

Long working hours were the leading reason professionals were considering leaving, cited by 29 percent, followed by difficulties keeping on top of compliance requirements at 25 percent.

“The Australian logistics industry has reached a turning point. Professionals are questioning their future in the sector, faced with relentless pressure from skyrocketing costs, evolving compliance regulations and ongoing labour shortages,” said Microlise Head of Operations APAC Shaun Gray.

With many procurement teams across Australia reliant on road transport, the combination of potential industrial action and deeper workforce pressures highlights the importance of assessing exposure, testing continuity arrangements and maintaining early communication with critical suppliers and partners.