Restraint necessary in worker negotiations

21 District Health Boards

Media Release
14 October 2009

Restraint necessary in service and food workers negotiations

Proposed public activity by the Service and Food Workers Union (SFWU) over wage increases is all part of the usual wage bargaining process, says Craig Climo, a spokesperson for the DHB negotiating team.

“People have a right to make their views heard, and this is part of the negotiating process. We value our staff who are doing valuable work in the DHBs. Maintaining good relations with them is a priority for us, but the reality is we are facing unusual circumstances with tough financial restraints”, says Craig Climo.

Today the Government announced a deficit of $10.5 billion for the year ended 30 June 2009.

Seventeen DHBs are party to the multi-employer collective agreement with the SFWU. The agreement covers 1160 full-time equivalent service and food workers, including cleaners, kitchen assistants, orderlies and home-based support workers.

““Wage growth in the health sector has outstripped inflation and wage growth across the rest of the economy in the past decade. The last settlement with SFWU delivered wage increases of up to 20 percent, with workers covered by the agreement currently earning at least 17 percent above the minimum wage rate,” says Craig Climo.

“And as a result of that last settlement, nearly all workers are getting an automatic increase this financial year – and 60% of them will be getting a 4.92 percent increase.

“The Government expects all state sector organisations to show financial restraint in the current financial environment, and DHBs are no exception.

“Employers and staff want the same things: the best possible health care for patients, satisfying and valued work, and well-run and effective health services. We want to work together with our staff to provide that”

ENDS

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