14 September 2011

New Zealand Steel workers vote for new collective agreement

New Zealand Steel workers have voted overwhelmingly to accept a new two year collective agreement following the first strike at the company for many years.

The agreement was negotiated by a delegate team from three unions – the Engineering, Printing and Manufacturing Union, the National Distribution Union and the Northern Amalgamated Workers’ Union of New Zealand. Last month workers at the company went on strike for 24 hours over three issues – the company’s pay increase offer, the term of the new collective and conditions relating to the use of contractors at NZ Steel.

The EPMU, leading the negotiations with more than 900 members at the company, says the agreement was ratified this week with over 92% voting in favour of the new deal. The agreement will see wages rise by more than six percent over the next two years and a compromise was reached on the issue of the use and payment of contracted labour at the company.

EPMU National Industry Organiser, Joe Gallagher, says the new agreement charts a new way forward for the company, especially around the way contractors will be used on the site.

“The company’s original claim to remove the contractors clause from the collective agreement was taken off the table in favour of reaching a workable compromise around the way contractors will be used and paid within the business over the next two years,” says Mr Gallagher.

“Another important part of the settlement for our members is the company’s agreement not to use the 90 day “fire at will” amendments to the Employment Relations Act for new employees.”

The company has also indicated it will withdraw court action challenging the contractors’ clause in the NZ Steel collective agreement.

ENDS

© Scoop Media