A major strike by cash delivery workers in Australia is raising alarms about potential cash shortages at banks, ATMs, and retailers, especially in the lead-up to one of the country’s most significant events—the Spring Racing Carnival. The disruption could leave many scrambling to find cash, as workers from key cash logistics companies halt deliveries for four days.
The Strike and Its Causes
The strike, which began Friday, is led by workers from Armaguard, Prosegur, and Point-to-Point, the primary distributors of cash across the country. These companies, owned by billionaire Lindsay Fox’s Linfox group, provide essential services to banks, retailers, and ATMs. The workers involved in the strike are members of the Transport Workers Union (TWU), and their action stems from a long-standing dispute over pay, safety concerns, and job security. The workers argue that they’ve been underpaid for years, with no significant wage increase since the pandemic.
The Dangers of the Job
It’s not just the money; it’s the danger. Cash handling is a high-risk job. Workers routinely carry large sums of money and, in some cases, firearms for protection. “It’s a dangerous job, every day they’re subjected to abuse or even attempted robberies,” said Sam Lynch to Daily Mail, TWU’s Director of Organising. The workers’ demands are clear: better pay, improved safety standards, and a sense of job security in an industry that has become increasingly precarious. Inflation has made life harder for workers, but their wages have remained stagnant, and many say they’ve had enough.
The Response from Banks and Retailers
In response to the strike, both banks and major retailers, including Coles, have reassured the public that contingency plans are in place to ensure cash continues flowing. The Australian Banking Association emphasized that the short-term strike would not have a significant impact on customers, encouraging the workers and employers to resolve the issue amicably. However, the TWU isn’t backing down. Some workers have already voted to extend their action, with a potential strike planned for the day before the Melbourne Cup, one of the busiest days of the year.
The Future of Cash in a Digital World
This strike comes at a time when the usage of physical cash is dwindling. In fact, the Reserve Bank of Australia reports that cash accounted for just 13 percent of all transactions in 2023. Despite this, more than $100 billion in cash was still in circulation as of mid-2024. The situation has sparked a larger debate about the future of cash in a digital age. Should the country push for an even faster transition to digital payments, or is a robust cash infrastructure still necessary for those who rely on it?
