Workers reject $20M Whakatu redundancy

Press, 23 October 1986, Page 2

Workers reject $20M Whakatu redundancy

PA Hastings Union officials representing 1900 redundant Whakatu workers have rejected a redundancy offer believed to be ’about $2O million in a marathon negotiating session. The company has offered the workers four weeks redundancy pay for the first year of service, and two weeks pay for every year after that, with a limit of 20 years service.

The union organiser, Mr Garth Tichborne, said yesterday that the unions had put in a counterclaim. He declined to give details but said one of the points in dispute was the 20-year limit. After yesterday’s session, he said negotiations were continuing but there was still “some way to go.”

The unions have about 30 officials at the talks while the Hawke’s Bay Farmers’ Meat Company is represented by the industrial relations manager, Mrs Lynne Elmes, and the plant manager, Mr Stuart Thompson. Among the union lineup was the Hawke’s Bay Trades Council, president, Mr Ted Earp, who cut short a holiday in Australia to fly back for the start of the negotiations. Mr Earp is also vicepresident of the National Meat Workers’ Union and secretary of the union’s East Coast branch.

The meat company’s managing director, Mr lan Cameron, said the company had made a positive offer which he thinks was more than fair but the unions had not accepted it. Mr Cameron would not

put a figure on the total amount offered. However, Waitaki’s managing director, Mr Athol Hutton, said last week the redundancy package the company was preparing totalled $2O million. Mr Cameron said that figure was realistic and was the “likely cost.”

He said the talks were adjourned at 9 p.m. on Tuesday and resumed again yesterday morning. At the session were representatives of various unions, including plumbers, engineers, electricians, painters, clerks, boiler attendants and meat workers. While neither the unions nor the company gave figures in regard to redundancy money, $2O million spread over 1900 workers averages $10,500 for each worker.