Woolworths staff vote for strike action

Woolworths staff are planning strike action over what they say is low wages offers and unsafe staffing levels.

Nearly 10,000 Woolworths supermarket workers have voted for initial strike action over low wage offers and unsafe staffing levels.

FIRST Union says the vote follows nine days of bargaining with the employer that is ruling out a living wage and has no desire to address understaffing issues.

National organiser for retail food Ross Lampert says 95 per cent of members voted in favour of striking, with a smaller group of members across 10 key Woolworths stores nationwide also voting for an additional action.

He says the issues at stake sre a living wage, safer staffing levels, and increased penalty rates for night and weekend work, which are common in other jobs that require people to work unsociable hours.

The three strike actions involve non-compliance with media and social media policies, the wearing of a strike sticker on work uniforms, and for members of 10 specific stores handing out "receipt"-style flyers to customers in stores.

The actions were designed by the union's bargaining team to be inclusive and solidarity-building ahead of any potentially more disruptive actions.

"This is a case of one of the largest and most profitable businesses in New Zealand deciding that their workers no longer deserve a fair deal and must accept whatever they put on the table - it just doesn't work that way," asy Ross.

"Our members are seeking a living wage, safe staffing minimum standards and fair compensation for giving up family and leisure time to work understaffed night and weekend shifts."

FIRST Union says a recent report shows Woolworths wages has fallen behind new arrivals to the New Zealand market like Costco and some Foodstuffs sites around the country who are paying staff a minimum living wage.

The current Woolworths start rate is $24.93 per hour, while Costco is paying new staff $27 per hour and Foodstuffs sites like Pak'n Save Kilbirnie has a start rate of $26 per hour.

Woolwroths says current starting pay rates for supermarkets team are: $24.93 per hour, with checkouts at $25.03.

A recent survey by FIRST Union found 90.8 per cent of respondents say their stores are understaffed, either "sometimes" (36.2 per cent) "regularly" (30 per cent) or "continuously" (24.7 per cent).

In response to staff voting for strike action, Woolworths NZ managing director Spencer Sonn says they are proud to employ more than 16,000 New Zealanders in stores.

Spencer says they’ve brought a strong offer to the table in discussions with FIRST Union. 

"We know we pay near the top of the market already and we offer a range of benefits to our team. We’re also investing over $45 million in making our stores safer for our team and customers," Spencer says in a statement to SunLive.

"We are disappointed that First Union has tabled claims on behalf of its members totalling nearly $1 billion over 1 year - which we believe is unsustainable.

"Our offer includes a 6.6 per cent increase for our store team on average over two years, and we have a genuine focus on helping our team have long and meaningful careers with us. 

"In the current economic environment we have to balance increasing costs and providing value for customers, but making sure our team earns more is also a key priority for us.

"We are continuing to engage with First Union in good faith and look forward to the Union responding to our offer."

In the statement to SunLive, Woolworths says the Collective Employment Agreement signed in 2022 included a 19 per cent pay increase over 2 years, an expansion to the allowance for working unsociable hours, and earlier sick leave eligibility.

In response to recent safety concerns, Woolworths says the $45 million investment in safer stores includes team safety cameras in all stores, trolley locks, fog cannons and double-entry gates.

"Woolworths New Zealand is investing $400 million over 3 years, in upgrading older stores across the country, not in rebranding."

-Additonal reporting by RNZ.

5 comments

The Master

Posted on 07-08-2024 10:04 | By Ian Stevenson

Woolworths or Countdown are already expensive compared to the opposition Food stuffs.

The "living wage" is a 'nice to have' the reality is however that the cost to business will be huge and so must be passed on to the customers = inflation. Currently the living wage is stated as being $27.80/hour, so that means a 10% increase in costs to the employer and VERY likely more than that. Result prices will rocket and become more unaffordable than before...

Generally speaking most supermarket staff are non-manager, unskilled and at best site trained only. Effectively "I want..." is the basis of wanting more $$. What happened to productivity, merit or something else of value and or use?


Employment

Posted on 07-08-2024 12:22 | By Noel Silver

If an employee is unhappy with the offered pay ,then they just go and find another job that pays better, and then resign. If you do not like unsociable hours of employment then leave. You are not employed against your will.


These comments are unfounded

Posted on 07-08-2024 18:38 | By Joshua g


I am writing to express my frustration regarding the comments on this post. The ongoing cost of living crisis and the unfair practices of supermarkets. Despite record profits year after year, these corporations claim they cannot afford to pay a living wage. This stance is not only ridiculous but also deeply unfair to their hardworking employees, who struggle to meet their basic needs amidst rising living costs.

A living wage isn't just about a few extra dollars each week. It's about giving workers the opportunity to save for a house deposit, plan for retirement, and secure their financial future. Many supermarket employees are highly qualified, often with education beyond high school, yet they work tirelessly, sometimes to the point of needing time off due to stress and overwork. Dismissing their valid concerns as mere complaints is out of touch and insensitive


Unsustainable?

Posted on 08-08-2024 12:30 | By morepork

"... totalling nearly $1 billion over 1 year - which we believe is unsustainable."
Last year their nett profit was $AUS 1.7 BILLION.
Their wages bill was almost $AUS 8 BILLION.
If wages increased by 10% (which they claim is being sought...) it would come to an increase of $AUS 800 MILLION. This is NOT "... totalling nearly $1 billion over 1 year" as they stated.
Certainly, it is a lot of money, but it could not be considered "unsustainable", given the profit level.
For the last 9 years (since 2015) they have never shown LESS than $AUS 1.5 BILLION of profit, and although they made over 2.5 BILLION in 2015 and things went down during the pandemic, they are currently on an upward profit trend.
I see some poor management here; the most valuable asset to ANY business is their people...


@joshua g

Posted on 08-08-2024 12:38 | By morepork

I agree with your post and share your frustration. In a separate post here I have given the figures, and they show that claims of "unsustainabilty" if wages are increased, are simply nonsense. Nobody wants government intervention in free enterprise, but when it comes to necessities like food and groceries, there has to be some accountability. Currently, there isn't, and we are relying on "competition" to make the market fair. If a billion dollar corporation cannot take care of its employees, then you can argue it shouldn't be operating...
The "living wage" is not necessarily the "minimum wage". Maybe they need to make all employees shareholders in the enterprise... that would lessen the conflict between the company and its people.


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