KEY POINTS:
Nurses and midwives will get a close to 12 per cent pay rise over the next three years under a pay deal reached with district health boards (DHBs) today.
The multi-employer collective agreement will cost the boards an estimated $120 million and even before it was signed there were warnings of its "massive implications" for the sector.
But today, the 21 DHBs and the New Zealand Nurses Organisation (NZNO) were congratulating themselves for the "collegial" style of negotiation in reaching a solution after six months of bargaining.
The deal will see nurses and midwives under the NZNO's umbrella receive incremental pay increases of about 3, 4 and 4 per cent over the next three years and other improvements in terms and conditions.
The parties used an "interests and issues-based bargaining" approach.
"This meant that rather than entering negotiations with pre-determined positions and claims, the parties set out the issues they each wanted to deal with and then worked together to find mutually acceptable solutions," NZNO lead advocate for the negotiations, Glenda Alexander, said.
She said the union had entered talks wanting to maintain pay rates and conditions comparable with other state sector professionals, as achieved in its previous settlement.
It had also wanted security and stability through a longer-term agreement and equity, fairness and consistency across all DHBs for the predominantly female nursing workforce.
"The agreement was acceptable to NZNO members because it provided solutions for all the issues NZNO took into bargaining," she said.
Ninety five per cent of members voted to approve the deal.
DHBs spokesman Jim Green, chief executive of the Tairawhiti DHB in Gisborne, said the settlement was a little more than the average of health sector settlements.
"But the package of measures we've agreed addresses some of the real long-term workforce issues and workplace practices which will have an effect to improve patient outcomes," he said.
He said the collaborative approach meant the parties were able to avoid the "confrontation" that had marred other negotiations.
"The negotiations involved a lot of hard work, but we did it together. Neither of us got everything we wanted and we both had to compromise - what we've now agreed is a settlement that is good for nurses, midwives and DHBs but most of all patients."
Confidential health board documents leaked to The Press newspaper show the deal would cost Canterbury more than $20m over the next three years, and the country more than $120m.
Calculations in the documents showed the Canterbury board would have to hire an extra 40 to 170 nurses to cover the increase in leave and sick leave entitlements.
Canterbury DHB chairman Syd Bradley said yesterday the nurses' pay issue carried "massive implications".
He said the board faced a huge dilemma over how to retain nurses - "some of the most important assets we have" - while keeping within the budget.
- NZPA
