Staff at a well-known Kiwi company are striking for a second time after the business increased its pay offer by an average of eight cents.
E tū Union estimated paint company Resene would need to pay an extra $200,000 a year to give members a living wage, which it said was a “drop in the ocean” compared to the company’s revenue and budget.
Resene factory workers have previously described being unable to give their children birthday presents and having to survive on canned food because of low wages and high costs of living.
Living Wage Aotearoa New Zealand launched a campaign a few months ago calling on Resene to pay the living wage, currently $28.95 an hour. The living wage is a regularly revised hourly rate that its proponents consider is the minimum to provide workers and their families with the basic necessities of life and modest leisure activities and rainy-day savings.
For employers who sign up to it, the wage is set as a base rate for their staff.
Union members first chose to strike in October after Resene offered an average of 76 cents per hour extra to workers, many of whom are just above the minimum wage of $23.50.
Resene also offered a 2% increase to two allowances, equating to a 26-cent increase on meal allowances for lengthy shifts and 28 cents extra for a first aid allowance.
E tū delegate for Resene Lui Betham described the offer at that time as “pretty much a kick in the guts”.
Further strike action will happen this week, with workers walking off the job for full days today and tomorrow.
The latest pay offer is an average of eight cents more than the previous one, taking the current total to 84 cents on average.
Union delegate Margaret Jackson said members felt disrespected.
“Resene still think we’re not important enough to pay the Living Wage. Their latest offer makes us feel like we’re just a number. It’s like they value their reputation more than us, even though we contribute massively to their profits. We feel disappointed, less valued, and p***** off to be frank,” she said.
But Jackson noted workers were determined to continue with the campaign.
“The vibe is pretty amped up, everyone’s ready to go for round two, and the community support has been amazing. The love from near and far gives us courage and strength. The support through fundraising has been overwhelming. It shows there are genuine people out there who care … unlike Resene.”
Betham said the company’s refusal to offer higher increases had pushed workers to take further action.
“We’re striking again to get the living wage, and to show Resene we’re not backing down,” he said.
“The latest offer is basically the same as the last one. It’s insulting. We’re still talking about cents, not real dollar increases – just a few cents reshuffled.”
He said members “would rather not be striking”, but wanted to show they would not accept a “low-ball offer”.
He said the community support had been “incredible”.
“St David’s Church, the whole Naenae community, and people all over the country have backed us. It’s very humbling.”
St David’s Reverend Alison Robinson said they were “not going away”.
“We are in this for the long haul, and we will continue taking action until Resene comes back with an offer for the living wage.”
E tū team leader Finn O’Dwyer-Cunliffe said Resene’s movement of eight cents showed it was not serious about resolving the dispute.
“The offer is completely unrealistic for workers who are struggling with the cost of living while Resene continues to profit,” he said.
“Members have been incredibly patient, and they’ve been clear about what they need. The company can afford a fair deal. It’s time for Resene to step up.”
The union believed paying the living wage to members would cost about $200,000 extra annually.
O’Dwyer-Cunliffe said this was a “drop in the ocean” for the company.
Living wage lead community organiser Finn Cordwell said the community had raised enough money to cover the workers’ lost wages during the strike, with support coming from St David’s Anglican Church as well as from everyday people giving small one-off donations.
“The country is uniting behind these workers, and people are putting their money where their mouth is,” Cordwell said.
Resene, which has its head office and main manufacturing sites in the Hutt Valley, provided a short statement to the Herald when members walked off the job in October.
“Our offer is consistent with the manufacturing sector annual wage increase for the current 12-month period. We will continue to negotiate in good faith with the E Tū union, who represent a small segment of our manufacturing workforce,” a spokesman said at the time.
Resene has been approached for comment again about today’s strike.
An email sent to multiple members of the community from managing director Nick Nightingale earlier this year said the company did not intend to join the living wage scheme.
“The living wage concept was developed by a group based in Lower Hutt in 2012 and is a blunt approach that focuses on a union-style position that workers should be paid the same pretty much irrespective of their contribution and performance,” the message reads.
“A poorer-performing worker would likely receive the same increase as an excellent performer and so on. This is not an approach I agree with.
“I believe strongly in providing pay based on merit and offering training and development opportunities to our team to help them to continue to grow in their current role or move into higher-level roles with us.
“Many of the reported statements, including those made about others in our industry, are false and disappointingly misleading.
“A quick check of the living wage register shows there are no other companies in our retail or manufacturing category engaged with the programme.”
Melissa Nightingale is a Wellington-based reporter who covers crime, justice and news in the capital. She joined the Herald in 2016 and has worked as a journalist for 10 years. She is not related to Resene’s Nick Nightingale.