KEY POINTS:
Strike action that would have affected four of KiwiRail's Interisland ferry crossings tonight has been called off ahead of further talks.
Last night two night-time crossings were cancelled and a further four were to be cancelled this evening.
New Zealand Merchant Service Guild general secretary Helen McAra said mediation between the union and KiwiRail management went through the weekend.
She said the union had originally asked for an 11 per cent pay rise in February but had since put forward a lesser amount. Ms McAra would not say what that amount was.
"The gap is still too big but there are further meetings," Ms McAra said.
She said the union had offered to spread the rise over a year but said management would not agree.
Ms McAra said the industry is facing increasing competition from overseas for experienced maritime officers and it is now starting to impact on New Zealand.
"Our members are being enticed away," Ms McAra said.
Earlier this morning KiwiRail spokesman Nigel Parry said only a small number of passengers would have been affected by last night's strike but he could not give a figure.
He also would not say how much the union was asking for this afternoon.
"I'm really not prepared to go into any details of negotiations," Mr Parry said.
He said daytime passenger sailings have not been effected by the earlier strike action.
He would not give a reason for the strike and declined to comment further.
In a statement released by Mr Parry late yesterday afternoon, he said KiwiRail was "committed to a speedy resolution, however it had not been possible to meet the financial demands" of the union.
- NZHERALD STAFF
