Tauranga and Rotorua Pathlab workers strike for second time in two months

The next Pathlab strike will be from March 24 to 26. Photo / Alex Cairns

Pathlab workers in Tauranga and Rotorua will strike for the second time in two months after their last strike resulted in “only modest progress” towards achieving pay parity.

Apex union members took strike action on February 5 and 7 after bargaining claims for pay parity were rejected. It said medical laboratory workers were paid on average 28% to 32% less than their Health NZ counterparts, despite performing the same work.

One worker said he would earn an extra $30,000 annually for the same job at Waikato Hospital while another said it was difficult to attract and retain staff given the wage gap.

The next Pathlab strike will be from March 24 to 26. More than 850 laboratory scientists and technicians nationally are taking part in rolling strikes between March 22 and March 31.

Pathlab says it understands staff’s frustrations, but its funding model was different from the public sector which “limits what we are able to offer”.

Health NZ says planning is under way to minimise any impacts on hospitals and community-based health services and it expected “life preserving” services to be in place.

‘We didn’t get what we wanted at all’

Pathlab Rotorua senior scientist Casey Lowe said the pay increase offered - about $3000 annually - “wasn’t great”.

“We are some of the lowest paid healthcare members in New Zealand and it’s just not good enough. They want us to have university degrees but then they’re not willing to sort of pay for that expertise and experience.”

She said members had been on the same wages for a year-and-a-half amid rising insurance, rates, and power bills.

“We’re all struggling.”

Lowe said members did not like striking but it was “our only means to enact any sort of change”.

“We do realise there [are] patients at the end of all of this.”

Members forfeited pay during the strike, but “the benefits of getting better pay outweigh the short-term loss of income”.

Steven Clements (front left) pictured alongside other Pathlab workers who went on strike in April 2024. Photo / Alex Cairns

Pathlab Tauranga senior medical laboratory scientist Steven Clements said members were offered a “small raise” after last month’s strike.

“We didn’t get what we wanted at all.

“We feel like there’s a lot of blame being passed between our employer and the Government.”

Clements said the Government made its “standard statement” about it not being involved in private laboratory negotiations.

“They actually provide almost all of our funding so we feel like the Government hasn’t particularly listened.

“We also feel like our employer maybe isn’t really supporting us ... so it’s led to another strike.”

An Apex media release said strike notices were issued to Pathlab, Awanui, and Medlab on March 6 after the February strike resulted in “only modest progress” in collective bargaining.

Apex national secretary Dr Deborah Powell estimated more than 123,000 tests would not be performed during the strikes.

Apex wanted to work with laboratory employers to resolve the dispute.

“We are in the weird situation where the employers agree with us - pay parity between public and corporate employed lab scientists and technicians is the only fair, just and sustainable solution to this dispute.

“Unfortunately, the lab triopoly are refusing pay parity without further government funding.”

Powell said the union’s view was further funding should be “forthcoming but conditional” on Health NZ taking an ownership stake in these laboratory corporations.

Pathlab responds

In a statement, Pathlab said it made an offer reflective of available funding, but it was not accepted. It continued to work with Apex and within its funding constraints to find a way forward.

Western Bay of Plenty and Tauranga collection rooms and Tauranga and Whakatāne Hospitals would remain open during the strike.

Eastern Bay of Plenty and Whakatāne region collection rooms would be closed.

The strikes would cause disruptions to services and testing, particularly in the Eastern Bay and Whakatāne.

Patients should continue to attend any hospital outpatient appointment or surgery, unless contacted directly.

The statement said there would be no microbiology testing during the strike which included some urines, all sputum, swabs, seminal fluid and fungal scraping testing.

Pathlab advised people to check its website for updates.

In response to workers’ and Apex’s comments, Pathlab said it understood why staff felt disappointed and frustrated and it recognised their financial pressures.

“We value their work and have engaged with Apex in good faith, doing everything we can within the funding we receive.”

The challenge was Pathlab’s funding model was different from the public sector, “and that limits what we are able to offer”.

“We remain committed to finding a workable solution while continuing to provide the high-quality services our communities rely on.”

Pathlab chief executive Brian Millen said it played an essential role in the provision of healthcare services and apologised to those would be affected by the industrial action.

Millen said when the Government agreed to a pay equity settlement with public sector laboratory workers, it resulted in a “substantial pay gap” with their private sector colleagues.

“The problem is that private laboratories, including Pathlab, receive the vast majority of their funding through long-run bulk-funded contracts with Health NZ that pre-date the settlement and are inflexible when it comes to unforeseen cost increases, such as this one.”

Millen said Pathlab continued to work with the Government to ensure patients received quality, efficient pathology services and remained engaged with Apex.

Pathlab was working with Apex to ensure life-preserving services were maintained, and with health officials to minimise the impact on patients, Millen said.

Health NZ responds

Health NZ Te Whatu Ora director of living well, planning, funding and outcomes Martin Hefford said it was notified of planned rolling strike action by Apex members from March 22 to March 31.

Health NZ was aware Apex members were in collective bargaining. Health NZ was not involved in this as they did not employ the private sector workforce.

Hefford reassured New Zealanders “extensive contingency planning” was under way to manage and minimise any impacts on hospitals and community-based health services from the strikes.

He said the strikes would have varying impacts on health services, depending on the region.

“All our hospitals and emergency departments will remain open, and we are liaising with the private laboratories to ensure patients who require urgent and critical care receive the services they need, including testing carried out at hospitals and in the community.”

Unless contacted directly, patients should attend Health NZ outpatient appointments or surgery as planned, he said.

“We respect the right of workers to take strike action and any questions about this matter should be directed to the employers or the union.”

Hefford said Health NZ expected the private laboratories to work with the union to ensure contingency plans and “life preserving services” were in place.

The strikes would have varying impacts on Health NZ’s ability to deliver planned care during these 10 days across its hospitals, including Rotorua, Taupō and Whakatāne.

“It will also affect community laboratory services, but effects are not expected to be acute.”

Megan Wilson is a health and general news reporter for the Bay of Plenty Times and Rotorua Daily Post. She has been a journalist since 2021.