The Australian Competition and Consumer Commission today instituted proceedings in the Federal Court, Brisbane against the Transport Workers Union of Australia alleging contraventions in Queensland of the secondary boycott (section 45D) provisions of the Trade Practices Act.

It is alleged that the boycott conduct has been taken by the TWU against smaller transport companies in Queensland which have not entered into enterprise bargaining arrangements with the union under the Federal Workplace Relations Act.

The TWU conduct allegedly involves a refusal by union members to load or unload the smaller transport companies vehicles at the major transport companies yards.

The seven major transport companies (Brambles Australia Limited, Carpentaria Transport Pty Limited, Finemores Pty Limited, Mayne Nickless Limited, TNT Australia Pty Limited, Toll Holdings Limited, K & S Freighters Pty Limited) have entered into enterprise bargaining arrangements with the TWU under the Workplace Relations Act.

In these circumstances, any action taken by the TWU directly against the major transport companies is immune from proceedings under the Trade Practices Act.

However, insofar as TWU members employed by those major transport companies are engaging in alleged secondary boycott actions by refusing to load or unload the vehicles of the smaller transport companies at the major transport companies' yards, the ACCC alleges that the behaviour constitutes a breach of the provisions of section 45D of the Trade Practices Act which generally prohibits such secondary boycotts.

The ACCC has received complaints from a number of smaller companies and alleges that the TWUs conduct against the smaller transport companies is causing them substantial loss or damage.

The ACCC is seeking orders, amongst others, that the TWU will:

cease engaging in the secondary boycott action against the smaller transport companies; pay compensation to any smaller transport company which has suffered loss or damage; and implement a trade practices compliance program.

These proceedings are the first taken by the ACCC under the new s.45D provisions which were introduced into the Trade Practices Act earlier this year.