CANBERRA, Sept 13 (Askume) – Workers at Australia’s biggest sugar producer Wilmar Sugar and Renewables said on Friday they had voted to accept a pay offer, ending a months-long industrial dispute that had disrupted sugar production.

    Wilmar’s eight sugar mills produce more than 2 million tonnes of sugar annually, worth about US$1 billion, more than half of the country’s total, most of which is exported.

    The start of the sugarcane crushing season was delayed due to strike action in May and production had to be shut down several times after it began.

    This increases the risk that the crop may not be completed before bad weather disrupts sugar cane sowing later in the year.

    Wilmar said 55% of its employees voted in favour of the three-year deal, which will provide more than 1,300 of them with a one-time bonus and a 12% pay rise by the end of the year and a 4% wage increase by December 2025.

    A company spokesperson said: “This is impacting not just our business and employees, but also our growers and harvesters who are vital to the sugar supply chain.”

    Wilmar’s factories are the economic hubs of communities on Australia’s hot and humid north-east coast, where sugar is a major industry.

    Australian Workers’ Union official Jim Wilson said, “This deal doesn’t deliver everything our members have asked for, but it is a huge win for our members and the community.”

    A pay dispute at Tully Sugar, owned by sugar group COFCO (600737.SS), also ended last month with workers accepting a settlement.

    “It’s great that this issue is finally being resolved,” said Owen Menkens, president of the industry group CANEGROWERS.

    “It has dragged on too long, delaying cane crushing for half the industry and causing major anxiety for growers and harvesting contractors,” he said.

    Wilmar International said its plants have processed about 6.3 million tonnes of sugarcane so far this crushing season, which is about 40% of the expected output.

    Wilmar International (Wilmar) Singapore is part of Wilmar International (WLIL.SI) .

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    Last Update: September 13, 2024