By Yoke Har Lee
For the first time in decades, whiteware manufacturer Fisher and Paykel (F&P) looks set to face a 24-hour industrial action by its union - which is seeking a 3.5 per cent annual wage increase.
The walkout will start at midnight tonight, the date the current collective expires. But F&P has managed to get a court injunction to prevent its healthcare union workers from walking out after the employment court ruled yesterday that the division was an essential service.
Originally, the union wanted a 7.5 per cent annual increase, while the company offered a 1.5 per cent. Subsequent rounds of negotiations have brought the claim down to the current 3.5 per cent, which the union said would be in line with the rise awarded to F&P's Australian operations, while F&P has offered a 3.25 per cent annual wage rise for its workers this year and another 3.25 per cent next year.
Gary Paykel, chief executive of F&P, said the 3.5 per cent awarded to Australian employees was infact below the market average rise there of 4 to 4.5 per cent.
"The offer for employees here is, in fact, well above the New Zealand average. We have said to the union the offer is on the table and we are not moving at all."
Mike Sweeney, Auckland regional secretary for the Engineers Union said: "For workers at F&P to come to this is really a sign of how social wages have been eroded so badly that people can't afford to accept the offer. We are caught up with the crazy economic rationalist system which is eroding market rates so much so that we are heading into third world."
He said the union had not put the 3.25 per cent tabled by F&P to members because the union had the mandate not to accept anything unless it was substantially above the 2.8 per cent first offered by F&P.
Mr Sweeney said the majority of the union were those on $12 per hour and after tax took home about $383 per week.
"Most are on market rents and simply can't afford to live on their wages. It is highly unusual for F&P workers because the company has good relations with its union."
F&P workers get set for walkout
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