CHH Kinleith seeks interim injunction

Carter Holt Harvey Kinleith seeks interim injunction

Carter Holt Harvey Kinleith is today seeking an interim injunction to bring production workers back to work.

Chief Executive Brice Landman said the company had instructed its legal representatives to file papers this afternoon to attempt to get production workers back on the job tomorrow. The company believes the workers actions are unlawful.

About 280 production workers went on strike about 1pm following a stop work meeting over redeployment of production employees following the implementation of the new structure.

Mr Landman said the redeployment issue had been the subject of recent correspondence between the company and the union, and there was a dispute procedure in the contract to deal with such issues.

"We are disappointed by the production workers actions; nothing can be achieved through strike action. Contract negotiations resume next Tuesday where such issues will be on the table.

"Strike action adds to the financial difficulties already faced by Kinleith in the intensely competitive global pulp and paper market.

"No one involved with the mill can hide from these difficulties. The mill lost $13 million in the first nine months of last year and that trend has continued.

"Last year 18 stop work meetings cost the business more than $4 million. Every day of strike action means a further $500,000 in lost production.

"The fact remains that Kinleith must change if it is to survive, and this change process is now under way," Brice Landman said.

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