The country’s cash supply is under strain as about 500 Armaguard employees across Queensland, Victoria and New South Wales consider striking following extended wage freezes. Proposed actions range from refusal to handle coins to a full 72-hour work stoppage, threatening disruptions to a network that supplies cash to retailers and banks, especially in underserved communities.
Armaguard, which became the dominant player in cash transit after merging with former rival Prosegur in 2023, is seeing rising discontent among its workforce. Demands for improved wages have grown louder in Victoria where nearly all union members have voted in favour of protected action. Voting is ongoing in Queensland and NSW. Any industrial action would require five days' notice and must begin within two months according to workplace laws.
The workers, represented by the Transport Workers Union, argue that wage negotiations are overdue. The last adjustment was in August 2023 yet many staff have not received a raise since. Pay differences persist between former Prosegur and Armaguard employees, with some Prosegur legacy staff earning 10% to 35% less. Talks have reportedly stalled as Armaguard awaited the outcome of an independent review of its pricing structure.
This pricing model, developed with Deloitte Access Economics and supported by major clients including banks and retail businesses, treats cash transport as a public utility. This matters most for regional communities and older Australians who remain reliant on cash. The model is pending regulatory approval from the Australian Competition and Consumer Commission though final clearance could take up to six months. This exceeds the lifespan of Armaguard’s current $25 million emergency funding.
Regulators are pressuring the Albanese government to grant emergency powers that would allow temporary government control of Armaguard if the company’s collapse threatens national confidence in cash infrastructure. The Reserve Bank and Treasury have both raised warnings about the risk, highlighting Australia's ongoing reliance on cash systems despite the growth of digital payments in cities.
