Kaitaki sentencing underscores need for new ferries

Source: Maritime Union of New Zealand

The sentencing of KiwiRail today for a 2023 incident on the Kaitaki interisland ferry highlights the urgent need for replacement ferries, says the Maritime Union of New Zealand.

KiwiRail was fined $432,500 for a charge under the Health and Safety at Work Act brought by industry regulator Maritime New Zealand, following loss of engine power on the Interislander ferry Kaitaki on Saturday 28 January 2023. 

Hundreds of passengers and crew were left adrift on the ferry in severe weather conditions and a ‘May Day’ call was issued as the ferry drifted towards the Wellington coast, before power was restored.

Maritime Union of New Zealand National Secretary Carl Findlay says the failure should never have happened. 

“It’s pretty clear that this is a failure by KiwiRail to do some basic maintenance. They’ve copped that and so they should.

“But you can’t look at this without the bigger picture. This is critical infrastructure that is ageing out and has been underfunded by successive governments for years.

“As far as MUNZ is concerned the last government’s plan to replace this fleet with the iRex project was already coming later than it should have.

“The cancellation of the new ferry deal by Minister of Finance Nicola Willis has put us back to square one at massive expense to the taxpayer. It’s gross negligence.

“The Government must provide a plan and a timeline for safe, publicly owned and rail enabled ferries as soon as possible.

“If they don’t. it should be them standing in the dock if this kind of failure happens again.”

Maritime Union of New Zealand back struggle of Australian Unions against anti-Union, anti-worker laws

Source: Maritime Union of New Zealand

The Maritime Union of New Zealand has offered its full support to Australian Unions in their struggle against anti-Union laws.

The CFMEU Construction Division was recently placed in administration following unproven allegations of criminal activity and new legislation rushed through the Australian Parliament.

The Maritime Union of Australia is a division of the CFMEU, and is backing a High Court challenge against the Federal Government’s “unjustified, chaotic and reckless decision” to place the CFMEU’s Construction Division into administration.

Mr Findlay says MUNZ agrees with the Maritime Union of Australia that the Federal Government in Australia has effectively robbed construction workers of an effective union.

“Maritime workers on both sides of the Tasman support key democratic principles including the presumption of innocence, natural justice and due process under law.”

“The Maritime Union of New Zealand is federated with the Maritime Union of Australia, and the MUA and the wider CFMEU have our full support in their struggle.”

Mr Findlay says all workers should be aware of the dangers of extreme anti-Union agendas that undermine the hard won rights of workers to organize. 

“This is a disturbing precedent and must be challenged.”

The Maritime Union in Australia and New Zealand have their origins in the Federated Seaman’s Union of Australasia founded in the 1870s.

“Governments come and Governments go, but the Union and the organized working class are here to stay.”

Ferry fiasco hangs over PM’s South Korea trip

Source: Maritime Union of New Zealand

Sorting out the mess his Finance Minister has made of the interisland ferries deal should be the key outcome of the Prime Minister’s visit to South Korea, says the Maritime Union of New Zealand (MUNZ).

The cancellation of the deal, which has been under negotiation for eight months now, is expected to cost the taxpayer up to a half a billion dollars – a cost that comes on top of another half a billion dollars of sunk costs in the project.

MUNZ National Secretary Carl Findlay says the current state of limbo created by this failure is unacceptable. “It is astounding that more than a half a year after the Finance Minister cancelled this vital project there has been no resolution.

“It is bad enough that the government clearly had no plan B for the only rail-freight service we have on Cook Strait – the fact that we are still waiting for final cancellation or renegotiation of this deal is madness.

“Nicola Willis’ ferry fiasco isn’t just costing us money, it has put the kibosh on the biggest economic deal between South Korea and New Zealand in years, and risks souring relations between our countries. 

Prime Minister Luxon needs to use his much-vaunted international business experience to sit down with the South Koreans and find a way through this expensive fiasco as soon as possible.

“We have to get on with replacing the ferries we have. At best Kiwirail will be able to eke out another five years of service from them; it can take longer than that to design and build new ships. If the government doesn’t settle this cancellation soon, or renegotiate to get Hyundai to build new ferries, we will run out of time.

“That’s a huge and urgent threat to freight customers, our economy, and our international reputation.

“No matter what happens, the reckless decision to cancel the build contract, just days before the steel was to be cut for the hulls, has put New Zealand in a terrible position.

“We need the Prime Minister to call time on the situation, front up on the cost his government has put on us and work to get a contract struck for publicly owned, rail-enabled ferries immediately. 

The foolish decision to cancel a project that was more than six years in the making has cost us too much already.”

MUNZ is New Zealand’s largest Maritime union and is affiliated with more than 200 maritime unions internationally.

Maritime Union commemorates Merchant Navy Day 2024

Source: Maritime Union of New Zealand

The Union representing New Zealand seafarers is commemorating Merchant Navy Day, held internationally each year on 3 September.

Maritime Union of New Zealand National Secretary Carl Findlay says Merchant Navy Day holds profound significance for the Maritime Union “as we remember our seafaring members past and present.”

“In the great conflicts of the 20th Century, seafarers showed courage and resilience. Their work ensured the safe passage of essential supplies, troops, and equipment.”

Mr Findlay says global conflict continues to impact on the safety and wellbeing of seafarers in international waters.

He says as we reflect on the past, we must consider the challenges faced by modern-day seafarers. 

“As an island nation, Aotearoa New Zealand relies heavily on seafarers, and the vast majority of New Zealand’s goods continues to be carried by sea.”

Mr Findlay says the maritime industry has evolved, but the life of a seafarer remains demanding and fraught with difficulties. 

Long periods away from home, isolation, and the physical and mental toll of the job are just a few of the issues seafarers contend with. 

The COVID-19 pandemic had a major impact, with many international seafarers stranded at sea for extended periods, unable to return to their families. 

Mr Findlay says the Maritime Union of New Zealand is committed to advocating for seafarers’ rights, ensuring fair working conditions, and providing the support they need. 

The Maritime Union of New Zealand is affiliated to the International Transport Workers’ Federation, which represents over 1 million seafarers in over 200 seafarers’ unions across 106 countries.

MUNZ is also working for the future of New Zealand coastal shipping.

Mr Findlay says New Zealand faces a crisis in our seafaring workforce due to a shrinking number of New Zealand flagged and crewed vessels, an ageing workforce and lack of training opportunities.

“Today, as we pay tribute to our seafarers of the past and present, let us also advocate for a new generation of New Zealand seafarers.”

He says we must continue to work for a maritime industry that values and respects its workforce. 

“This means investing in training, ensuring safe working conditions, and rebuilding our New Zealand merchant fleet.”

Mr Findlay says the task today is to continue to represent New Zealand seafarers and campaign for a strong New Zealand merchant fleet, and to play our role in defending the rights of all seafarers who work in our waters.

The Merchant Navy in history: background

During the Second World War, thousands of New Zealand seafarers volunteered to serve in the Merchant Navy.

They sailed shipments of fuel, food and other essential supplies across the world, and delivered troops and military equipment where they were needed.

The work was important and extremely dangerous. 4,700 Allied merchant ships were sunk during the conflict, and 30,000 Allied merchant seamen lost their lives.

This included New Zealand ships like the Turakina and the Limerick, and at least 140 Kiwi merchant seafarers were killed with a similar number taken prisoner.

The Merchant Navy faced greater danger than any other group of New Zealand civilians. Their sacrifice and heroism will be remembered.

Maritime Union in history

The Maritime Union and its predecessors have the longest history of any union in New Zealand.

MUNZ was formed when the Waterfront Workers’ Union and New Zealand Seafarers’ Union joined together in 2002.

The first Seamen’s Union was formed in 1879 and it was a trans-Tasman Union with members in Australia and New Zealand. 

Grounding of Manahau barge at Westport raises major questions

Source: Maritime Union of New Zealand

The Maritime Union says the grounding of the barge Manahau overnight near Westport raises major questions.

Maritime Union of New Zealand National Secretary Carl Findlay says concerns had been previously raised by New Zealand seafarers about the foreign crew and flag of the barge.

He says the cause of the grounding has yet to be confirmed, but the difficult local conditions at Westport including recent poor weather would be obvious issues to consider.

There had been no reports of injuries, which was fortunate as the West Coast was a notoriously treacherous maritime environment.

The 97.53-metre and 3706-GT self-powered barge Manahau had only just come into service in August 2024 carrying mineral sands out of shallow draught port Westport to Nelson.

Mr Findlay says the Manahau did not have a New Zealand crew and the flag state was Niue. 

“Vessels such as the Manahau operating in New Zealand’s unique and challenging maritime environment should be crewed by experienced New Zealand seafarers.”

The operators of the Manahau had benefited from Government funding for the vessel.

Mr Findlay says it had been extremely disappointing to see this substantial Government funding go towards a vessel operating in New Zealand waters that was neither New Zealand flagged nor crewed.

“In the last several years, we saw an upsurge in New Zealand crewed coastal shipping, but this is now going backwards with the loss of coastal shipping services, or in this case, failing to provide jobs for skilled local crews.” 

“New Zealand needs to build its coastal shipping capacity, and that means New Zealand owned, operated and crewed ships.”

Concerns with health and safety approach at Lyttelton Port Company

Source: Maritime Union of New Zealand

The Maritime Union of New Zealand says it has concerns about the approach of the Lyttelton Port Company (LPC) to mandatory fitness tests.

The concerns come after the sentencing of LPC in July 2024, following the death of MUNZ member Don Grant while loading coal on the ETG Aquarius in April 2022.

LPC pleaded guilty in November 2023 to one charge under the Health and Safety at Work Act 2015 brought by industry regulator Maritime NZ.

Maritime Union National Secretary Carl Findlay says workers have welcomed the guilty plea and sentencing, but have concerns about the current approach of LPC to listening to its workers.

Mr Findlay says a lot has changed since the tragic death of Mr Grant, a friend and much loved colleague at Lyttelton.

“This is not only in work practices involving coal operations, but in Management and Governance and the relationships between LPC and Unions.”

Mr Findlay says LPC has many new members on the Board and a new Chair Barry Bragg.

LPC also have their third CEO in a short time in Graham Sumner, following the resignation of former CEO Kirstie Gardener and interim CEO Jim Quinn.

Mr Findlay says LPC have now announced a new mandatory fitness for work program for all employees.

He says this has been pushed through without regard to workers concerns over their financial protection and wellbeing of any members who fail the assessment, with the ultimate result of people losing employment if they don’t meet the standard. 

“In short, MUNZ see this as a breach of good faith and LPC not honouring our Collective Employment Agreement.”

Mr Findlay says the Union is agreeable to fitness for work health monitoring, but want LPC to negotiate in good faith.

He says LPC are imposing a fitness for work test and the consultation process was not working.

“MUNZ is very concerned how the death of a worker has been used to implement new policies without bringing along workers and listening to their voices.” 

Mr Findlay says workforce morale is sinking with a lack of commitment shown towards LPC by some Council leaders, and the ongoing churn of management and Board members.

“Former LPC CEOs Roger Gray and Kirstie Gardener took part in open engagement with the unions, and LPC container terminal was the 35th best performing terminal out of the top 415 terminals in the world.”

“Unfortunately, with ongoing changes at the top and a less open approach by Management,  LPC container terminal has now dropped to 385 in the list of the top 415 terminals in the world.”

MUNZ and LPC are attending mediation on 16 August on the issue of health monitoring.

“We are confident we can find a way forward with not only LPC, but also CCHL who manage LPC on behalf of Christchurch City Council.”

MUNZ is committed to ensuring the safety and wellbeing of not only our members, but all workers in the port of Lyttelton, says Mr Findlay.

Finance Minister needs to explain ferry decision cost to taxpayer

Source: Maritime Union of New Zealand

The Maritime Union of New Zealand says the cancellation cost for the iRex ship build is likely to come in at more than NZ $300 million, and could run up to a maximum cost approaching a half a billion dollars (NZD) at current rates. 

This would be on top of around a half a billion NZD in sunk cost on the cancelled iRex project – figures the Maritime Union has been advised on after consulting with the maritime industry here and offshore.

Maritime Union of New Zealand National Secretary Carl Findlay says the Finance Minister needs to explain how this happened and why she should keep her job. 

“This single decision is likely to have torched a billion dollars of taxpayer’s money with nothing to show for it. It’s fiscal arson.”

Mr Findlay says on top of this cost, New Zealand still needs to buy new ferries. 

He says unlike the iRex ferries cancelled by the Minister, which were purchased at a fixed price in 2021, their replacement will have to be bought at 2024 shipbuilding prices, which are currently at their highest since before the global financial crisis of 2008.

“Between that and our dollar being much weaker than it was when we struck the 2021 deal, the Government’s replacement ships could cost twice as much to build as the cancelled ones.”

Mr Findlay says industry players believe the Government is looking to hide some of this cost through a Private Public Partnership. 

He says we’ve seen time and time again all this would do is increase the expense, and shift it onto users and future taxpayers.

“Putting a private for-profit gatekeeper on the key freight route between our main islands is a recipe for economic disaster.

“Prime Minister Luxon needs to bite the bullet, try to salvage the iRex deal in whatever way he can, and admit the cost his Finance Minister’s commercial blunder has put on the taxpayer.

“He should also ask himself whether his Finance Minister should be left in charge of running our economy after making this colossal economic and commercial mistake.”

Loss of Takutai Chief undermines New Zealand shipping and supply chain

Source: Maritime Union of New Zealand

 
 The loss of a New Zealand operated coastal freighter and 12 jobs due to the economic downturn threatens the viability and resilience of our supply chain.
  
Swire Shipping, the owners of Pacifica Shipping, have advised its second New Zealand coastal freighter Takutai Chief will be removed from service soon after a downturn in trade.
 
Mr Findlay says the Union accepts the reasons given for the decision, including current poor economic conditions and service changes by international lines reducing feeder volumes.
 
“Nonetheless, this is a major blow to New Zealand shipping and our maritime workforce, and reduces the resilience and future security of our supply chain.”
 
Mr Findlay says Pacifica has shown an ongoing commitment to New Zealand coastal shipping.
 
He says coastal shipping offers a low emission transport mode, and reduces congestion and wear on roads.
 
The situation reflect a larger crisis within the New Zealand maritime industry where there is a lack of stability due to failure in strategic policy, he says.
 
Mr Findlay says the dependence of New Zealand on overseas shipping was a major problem during COVID with serious disruptions when overseas shipping calls were delayed or dropped.
 
He says skilled New Zealand seafarers will leave the industry for opportunities in Australia, with an ageing workforce seeing a large number of seafarers retiring in the near future.
 
Mr Findlay says the uncertainty around the future of Interislander ferries is another aspect of the ongoing crisis in New Zealand shipping.
 
“Despite being a maritime trading nation, New Zealand has no clear strategy for a sustainable shipping industry, which leaves us exposed and vulnerable in a volatile global market.”
 
“New Zealand needs to build its coastal shipping capacity, with New Zealand owned, operated and crewed ships.”
 
Pacifica Shipping is an operating division of Swire Shipping (N.Z) Limited.
 

Ferry report does not solve the big problem

Source: Maritime Union of New Zealand

The Maritime Union has sounded a note of caution about the seaworthiness of Interislander ferries.
KiwiRail has today released a summary of a maritime assessment of the three Interislander ferries carried out by DNV, which says the ships are in reasonable condition.
Maritime Union of New Zealand National Secretary Carl Findlay says the Union appreciates the efforts being made by KiwiRail, but members on the ferries had real concerns about health and safety.
“Our members crew those ferries, so if something does go wrong they are placed in danger.”
Mr Findlay says the Union is treating the conclusions of the DNV report with caution.
He says keeping the current vessels running until the end of the decade is a stop gap measure at best.
“There have been a number of technical issues with the ferries already, some with potentially very serious outcomes, and the fact remains that there are many ageing systems and components in service on the ferries.”
Mr Findlay says that KiwiRail has been put in an impossible position.
“KiwiRail doesn’t really have any choice but to soldier on with end of life vessels and push up maintenance costs and maintenance time for the ships.”
He says the main problem remains – there is no clear indication yet what the Government has planned in place of the iRex project it dumped last year.
Mr Findlay says the full cost of abandoning the iRex project is yet to be determined and would possibly wipe out any savings on new ferries and terminal infrastructure.
 

Gisborne fishing tragedy

Source: Maritime Union of New Zealand

The Maritime Union has offered its sympathy and support to family and friends and the Gisborne community following the death of three local fishermen.

Police have confirmed three people were found deceased overnight on the Mahia Peninsula coastline.

Maritime Union of New Zealand National Secretary Carl Findlay says it appears the community and the rescue teams made every effort they could in very difficult weather conditions to find and help the fishermen.

“This is a sad reminder of the dangers of the New Zealand maritime environment.”