Tiwai aluminium smelter faces union strike; negotiations continue to reach mediation

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Rio Tinto-owned Tiwai Point Aluminium Smelter hangs in the balance as union members in the company have decided to go on strike. In a workforce of 670 members, 186 or almost 28 per cent of the smelter’s staff are part of the E tū Union, who have action planned at various intervals for the upcoming period. Ensuring all four shifts at the facility were covered, the strikes would be held from 11 AM to 1 PM on May 4,6, 8 and 10.

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A 2.5-year-long negotiation with the employer failed to meet the points requirement and conditions, which led to a joint decision of the union members at the plant voting for the strike, as reported by an on-site union delegate.

Requirements of the E tū Union

Mat Danaher, the E tū Union Director, discussed the stalemate talks with the employer for a collective employment agreement to provide coverage for its members at the facility, which did not reach a conclusive agreement to gain momentum.  

Some of the main requests made by the union were shifting weekend public holidays to Mondays, adjusting shift allowances in line with inflation, and increasing two recent pay hikes by 1.5 per cent each to keep pace with rising prices.

Having been “incredibly patient” on individual employment agreements at present, the members attempted to “come up with a reasonable arrangement,” but are now “kind of at the end of their tether,” as mentioned by him.

He acknowledged the employer offering various concessions to all 670 employees, but has not yet included “a collective agreement or offer a pay rise that keeps in line with the cost of living.”

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Responses from the Tiwai Point

Simon King, Tiwai Point spokesperson, mentioned in a statement about the long-term engagement of the NZAS Management with E tū in negotiations since early 2024. “We believe the current terms and conditions we offer are competitive and position us well, both in the Southland and wider New Zealand and market,” he noted.

The employer has suggested a mediation to the union, to be held on May 20. “We will hopefully come to some sort of understanding,” Danaher mentioned. Along the same line, King said, “We will continue to engage with the union, and all our staff in good faith, and have confirmed we will recommence mediation on 20 May.”

He emphasised the environment of cooperation in the company, stating, “In a tough economic environment for many businesses, we’re proud to continue to offer our team members and those looking to join our team market-leading benefits, and we will continue to do so as part of Tiwai continuing to be a great place to work.”

Focusing on requisite safety and environmental standards at the Tiwai aluminium smelter, he added, “Safety and environmental stewardship, and stability of our operations and of our local communities are our priorities.”

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