The facts behind the Ocean Beach furore

Press, 25 September 1978, Page 2

The facts behind the Ocean Beach furore

Industrial reporter In the furore over the Ocean Beach prosecutions, the events that gave rise to them should be kept in mind. Ocean Beach is about two kilometres north of Bluff. The freezing works there is owned by a British firm, C. W. S. Holdings, Ltd, which also owns the Longburn works at Palmerston North.

The Ocean Beach Freezing Company, a subsidiary of C.W.S., was established in 1890. C.W.S. had half ownership in the works in 1946 and bought the balance of capital in 1954. The works has been progressively improved over the last few years and is said to have one of the most modern slaughterboards in New Zealand. The company has spent about SSM on improvements during the last four years. Because of its isolation, the plant has the biggest hostel of any freezing works in the Southern Hemisphere, and at times has housed up to 400 employees in single men’s accommodation. Many of the freezing workers come for the season from other parts of New Zealand. The 192 workers who were summonsed under the Industrial Relations Act rep-

resent about 20 per cent of the in-season work-force. Until the 1960 s Ocean Beach had a static labour force, but the setting up of another works created competition for skilled workers. In 1971, Ocean Beach had a labour turnover of 100 per cent on its slaughterboard. The company blamed the itinerancy of its staff for a steadily declining quality of work. In 1976, carcase dam= age cost the company $206,000, and as the figure was getting towards $500,000 in the middle of the 1977 season, the management looked for ways to reduce the losses.

A slaughterboard foreman thought up the idea of _ a quality bonus, and, after discussions by the management, agreement was reached with the Meat Workers’ Union.

Both parties knew the agreement would have to be ratified by the Industrial Commission, but said that trials should go ahead. During the trials the Freezing Companies’ Association asked the C.W.S. management to withdraw the quality bonus agreement. This was done at the end of March, 1977. According to Mr A. J. Kennedy, who at the time was secretary of the union’s Otago-Southland branch, the union had great difficulty in

constraining the workers and Mr Kennedy said he assured them that they had a “watertight” case. Sure enough, the matter finally reached the Industrial Commission in September last year," and the commission ratified it and backdated it to February, 1977. But in the meantime, as the season neared an end in May and June, 1977, feelings were running high. According to Mr Kennedy, The present prosecutions, relate to an incident in June when the management allegedly broke a long-standing agreement on paying off its workers. The freezing work’ ers had had enough. They allegedly walked off, leaving stock in the works, contrary to section 125 A of the Industrial Relations Act. The informations were laid on September 8, 1977, and the summonses issued in May this year. The cases came before the Magistrate’s Court at Invercargill in July, when the jurisdiction of the Court was questioned. The Magistrate ruled in August that he did have jurisdiction, and the cases against 162 workers who had pleaded not guilty were adjourned to September 21, when the Magistrate refused a further adjournment and the charges were withdrawn or dismissed.