A last minute agreement has averted an industrial dispute over cost of living pay rises that threatened to affect Sealink ferry services to Kangaroo Island over the Easter holiday period.

Work bans wee set to take effect from today, Tuesday 26 March, pending a hearing in the Fair Work Commission.

Last night Sealink put out a statement advising it had reached a resolution with the Unions and employee representatives.

"Following the Fair Work Commission conference today in Adelaide, all proposed Protected Industrial Actions have been withdrawn, which means the scheduled ferry departures to and from Kangaroo Island will continue to operate as per the published timetable.

"This is a great outcome for residents, holidaymakers and ultimately Kangaroo Island businesses and the community, who are still rebounding from the devastating impact of the bushfires in 2020 and COVID and can now confidently make the most of the busy Easter long weekend period."

Kangaroo Island Mayor Michael Pengilly had called on Premier Peter Malinauskas to intervene to prevent disruption to the ferry service.

“Sealink is an essential service for the island – it’s a lifeline.” 

Mr Pengilly told ABC radio on Monday that a lot of the crew live on the island and he has no issue with them wanting to be paid fairly, but Sealink was the only ferry service.

Brett Larkin of the Maritime Union of Australia told ABC radio that the required notice for legal protected action was given last week to bring Sealink to the table on wages.

He said the union had been trying to negotiate a cost of living pay rise since last October and Sealink was making good profits.

The proposed work bans would have limited working days to no more than 10 hours, with a maximum of two sailings per day.