2. Global Trends in the Transport Industry

3. Capital wants transport - cheaper, faster and barrier free to support the building of their commercial success The rights of sovereign (self governing) countries and their peoples are being under-mined Private ownership rules The stock market is king Unions are being challenged

4. International air growth (1991 – 2001) Both 7% growth per yr av. 17.6 million tonnes of freight 532.3 million passengers IATA statistics Employs 2 million workers AIR - Moves the perishable and valuable; Drives the worlds largest industry - Tourism

5. Shipping and world trade – the container was the trigger 10 million containers Replacement value US$33 billion Containerisation International 5 thousand million tonnes over 4.6 million miles in 2000. 285% growth in 40 yrs Fearnley’s review

6. The Truck – the modern mover Vital to the logistic chain The highway warehouse Ease of door to door Quick and efficient Flexible Unit or partial loading State resourced Overcrowded highways Abuser of labour

7. Rail – struggling in the new market Period 1970/97. CEE (Central and Eastern Europe) 39% drop in freight Passengers 45% drop EU (European Union) Freight 16% drop Passengers 30% gain. Jeremy Drew Railways and their suppliers UK (United Kingdom) Freight 2000 to 2002. 2.7% growth Passenger 1991 to 2002. 28% growth. Transport Dept. UK

8. Ports – The hub Privatised or Corporatised. Eg P&O ports with 21 container terminals in 15 countries. Modernised. Part of global network. Customer focused. Increased competition.

9. Logistics – Time related positioning of resources. UK Institute of Logistics and Transport The science of ensuring the right product reaches the right place in the right quantity at the right time to satisfy customer demand. Tibbett and Britten Group. The process of managing all activities required to strategically move raw materials, parts and finished goods from vendors, between enterprise facilities, and to customers. From a presentation by Stuart Howard ITF Assistant General Secretary.

10. Logistics – Supply chain management. 2001 report by KPMG to the International Road-transport Union (IRU) In the EU (European Union) supply chain management demands have resulted in a 207% increase in transport needs between 1970/97 Onsite transport has been converted into external transport Smaller order quantities but increased order frequencies Shift from make-to-stock to make-to-order Country based concepts into regional, pan- european or global scope. “Cross Docking” when the flow of goods from different sources are merged at a distribution centre before final delivery

11. Logistics – random facts 1/3 of the trade (cross border) is within companies. Global corporations have developed global supply lines. Globalised production) Logistic requirements demand lower costs. Many of the ‘logistic’ work is not traditional union coverage. (Vertical integration – one stop shop) Companies merge to form more powerful entities. Powerful lobby groups. The West Coast Waterfront Commission. The European Shippers Council. Note. Federal Express delivered 250,000 Harry Potter books to homes in the USA on one day.

12. Logistics – the players Forwarders and trucking companies (Transplace) Shipping companies (Maersk, Evergreen) Integrators (UPS, FedEx) Postal Services (Deutsch Poste, TNT) Rail operators (Schenker, ABX) New and growing companies. (Menlo)

13. What Challenges are there for the Unions? Nothing has happened in a vacuum Need to identify the ‘drivers’ of change Need to understand the new logic of the logistics industry. (Have to put the jigsaw together for labour). Need for unions to confront the introduction of ‘Globalising’ policies in their respective economies and regions Need to determine how to confront international ownership and global control.

14. What are we currently doing? International lobbying Increasing activity on a cross sectional approach Building networks Exploring International Framework Agreements Expanding organisational and educational efforts

15. Australia 1998 – Patricks vs MUA – Solidarity won