The men were shifting a client and her belongings from her house when a neighbour phoned police, believing the men were stealing the woman's belongings.
About 8.20am today, the removalists, from Man with a Van, were approached by police on St Kilda Road, near Fitzroy Street, after traffic was stopped.
A witness, Jo Templin, said police walked through the blocked traffic as though looking for someone.
She said that the removalists were handcuffed and police threw them to the ground. But they were later allowed to continue on.
Man with a Van general manager Matt Windsor said he believed this was the first experience of its kind for his staff and the two were "a bit knocked about".
Mr Windsor said the men were in full uniform and were shaken up at being handcuffed and put on the ground.
"Once they convinced the powers that be that they were who they were, they were sent on their way for a cup of tea and a good lie down," he said.
A police spokeswoman confirmed the removalists were mistaken for burglars and said no charges would be laid.
Another article appearing at smh.com.au with relation to the story is as follows:
Handcuffed removalist considers legal action