Metalworkers happy with deal

Andrew Little says economic conditions justify an increase of 5 per cent. Picture / Brett Phibbs

Metal workers have won a 5 per cent pay rise over 15 months. Or ... make that a 4 per cent pay rise over 12 months.

The description yesterday depended on whether you were listening to the Engineering, Printing and Manufacturing Union (EPMU) or the Employers and Manufacturers' Association (EMA).

The Metals and Manufacturing Industries Collective Agreement covers more than 1000 workers and 73 employers and is effective from March 8.

"There is no debate the 5 per cent pay escalator is the benchmark for 2005," said EPMU national secretary Andrew Little.

"The campaign that we've been running since the start of this year is that whatever your starting point is, current economic conditions justify an increase of 5 per cent."

The EMA said 5 per cent over 15 months was effectively the same as the 4 per cent offer from employers at the start of the wage negotiations.

"It's a pity the union ramped up industrial action at the cost to its members from going on strike, rather than accept the employers' earlier offer," said EMA manager of employment relations services, David Lowe said.

Up to 2000 workers covered by the agreement went on strike last month to protest the EMA's "final offer" of 4 per cent. Afterwards, the EMA refused to continue negotiations, leaving the EPMU to bargain with employers directly.

The EPMU, the country's largest union, represents nearly 50,000 workers in the manufacturing sector, including aviation workers, forestry workers, postal workers, media workers, the automotive industry and miners.

Business New Zealand chief executive Phil O'Reilly said the fact the union had only got agreement from 73 employees - rather than the larger group originally targeted - showed individual bargaining was more popular.

Little said union organisers would be working to add more employers to the agreement.

EPMU Metals advocate Bill Newson said the initial target was to reach 100 employers and, longer term, the aim was to match or top the 170 party to the last metals agreement.

The EPMU launched its "Fair Share - Five in 05" campaign, which aims to win a minimum 5 per cent pay rise for all workers - in late February.

Little shrugged off suggestions the Labour-affiliated union was pleased the agreement was signed well ahead of the election, meaning industrial unrest was unlikely at that time.

Newson said: "Our members are keen to get their employers signed up and get the pay rise. That's what's driving us. There aren't political reasons."