Easysteel job loss worries: Union blasts Fletcher Building management, says ‘bombshell’ dropped

Dozens of jobs at Easysteel in various locations could be at risk, First Union says. Photo / Google

Jobs at steel distributor Easysteel are on the line after a “bombshell” was dropped during talks, a union says.

But Easysteel parent company Fletcher Building said the company was acting in good faith.

First Union alleges mismanagement at Fletcher Building was to blame for troubles which now jeopardise dozens of jobs.

First Union organiser Justin Wallace said the company dropped a “bombshell” during bargaining when it suggested restructures late last week.

He said employees in Auckland, Hawke’s Bay and Christchurch were now at risk of losing their jobs.

“They’re just shocked. They’re a little bit concerned on the selection process, whether it’s going to be fair and reasonable.”

Wallace said the company should have raised the possibility of restructures or job cuts sooner.

“There should’ve been a conversation with the guys on the shop floor.”

He said First Union and another union, E tū, were working together to support affected staff.

But not all the affected Easysteel staff were union members, Wallace said.

He said the company indicated feedback on the consultation process would finish on May 3 and the outcome of proposed restructures would be released on May 17.

“Easysteel has begun a consultation process with its team, which included informing the unions, in good faith,” a Fletcher Building spokesperson said.

“Our priority is working with those potentially impacted, no decisions have been made, and we welcome feedback from those potentially impacted, and the unions.”

In February, the Shareholders Association and Sam Stubbs from KiwiSaver provider Simplicity NZ said changes should be made to Fletcher Building’s board.

The company has faced multiple setbacks in recent years, including the SkyCity convention centre fire and the Western Australia investigation into Iplex pipes.

Fletcher Building chief executive Ross Taylor and chairman Bruce Hassall both quit this year.

Chief financial officer Bevan McKenzie is leaving in October.

John Weekes, online business editor, has covered court, crime, politics, breaking news and consumer affairs. He reports on topics including scams, strikes, retail and macroeconomics.