DAIRY FACTORIES.

Auckland Star, Volume LXVIII, Issue 98, 27 April 1937, Page 8

DAIRY FACTORIES.

PAYMENT REFUSED.

ATTITUDE OF COMPANIES. COMPLAINTS BY UNIONISTS. I I Numerous complaints that dairy companies in the northern industrial district, apparently acting under a solicitors opinion issued by the New Zealand Dairy Board, are refusing to pay holiday pay to workers in butter and cheese factories, have been received by the secretary of the Auckland Dairy Factory Employees' Union, Mr. J. P. John. It is stated that considerable dissatisfaction exists as a result of the attitude adopted by the companies, and there is a possibility of unsettlement developing in the industry in the Auckland district unless the position is adjusted. Contention, of Union. The holiday pay issue has presumably come to a head as a result of a recent Taranaki decision that the workers have no right to holiday pay, but in a circular letter to members of his union, Mr. John points out that the Taranaki ruling does not apply to the Auckland district. "The Taranaki and Wellington districts were working under some sort of gentlemen's agreement," he states, "and. from what we understand, were claiming their holidays under the provisions of the Finance Act. The Auckland union is still working under an award made on February 11, 1935, and this award is still in existence, and provides for two weeks' holiday on full pay for workers in butter factories, and three weeks' holiday for those in cheese factories, and there has been no amendment in any shape or form in the amended Factories Act, which gets rid of these holidays. "So far as the Auckland district is concerned we wish to assure you that holidays on full pay will, and must, be granted. We wrote to the Minister of Labour, the Hon. H. T. Armstrong, on this question recently, and on March 15 he replied as follows:—'I have to acknowledge your letter in which you refer to holiday pay for dairy factory workers. This matter has already received attention by the Labonr Department, and necessary action has been taken to enforce the holiday provisions.'"

Taranaki Decision. The Taranaki decision referred to was given by Mr. W. H. Woodward, S.M., on April 23 in a test case brought by the inspector of awards at Stratford against the Cardiff Co-operative Dairy Company. The magistrate upheld the company's contention that a clause in the 1930 award, providing for three weeks' holiday on full pay, or a proportionate period, according to length of employment, at the termination of an employee's services, was not, under the provisions of the Finance Act, 1930, applicable to the agreement made in 1934 and still in force. It was stated that the decision would mean a saving to dairy companies throughout the Dominion of more than £30,000 annually in the payment ,bf wages. ........