Smelter workers feel in limbo and underpaid

A tradesman at the Tiwai Point aluminium smelter says it was once the best employer in the country but the company needs to raise its game.

The man, who asked not to be named, has been working at the smelter for 14 years.

He said workers felt like they were in limbo and underpaid.

While he and his colleagues appreciated the health and safety conditions, they were pleading for Rio Tinto to pay more.

The issue was highlighted earlier this week when the company announced intentions to keep the smelter open beyond 2024.

"It is creating a bit of angst among the workers to have to go through this [the potential closure] again.

"Even though Rio Tinto is saying they want to stay, they will not have workers unless people get well paid to take that risk, and we need more people here, obviously," he said.

"We used to be one of the best employers with best pays in the country but that has slipped back in the past years."

He said Tiwai’s tradesmen were being paid at least $10,000 less yearly than others at firms such as Alliance, Fonterra and NZ Steel.

While inflation was running at 5.9%, the workers had an annual wage increase of about 2%.

The team was "losing good people that shouldn’t be going" and the main reason was pay.

Workers also felt the closure saga was a political game and that people involved were not telling the whole truth, he said.

"It is a stupid game they are playing ... I don’t know what the outcome will be, to be honest. But we need to have better pay for the ones who are here."

E tu organiser Anna Huffstutler said the union was aware of the situation.

She had been engaging with Tiwai’s employees as part of the just transition process and the feedback had centred on remuneration and job security.

"There is a strong feeling their remuneration didn’t properly increase alongside the cost of living and this has been a top issue for our workers."

She highlighted the importance of keeping the transition process to diversify the economy.

New Zealand Aluminium Smelter chief executive and general manager Chris Blenkiron said it was operating in a tight labour market where attracting and retaining staff was a challenge.

"However, we do see a positive pathway to a longer future for the smelter, and at this point, we have the certainty of a contract until the end of 2024.

"I care about the impact this is having on our team at Tiwai and fostering an environment which can support people through this time is one of my top priorities."