Business / Employment

Kawerau paper mill union members accept pay offer, ending lockout

11:55 am on 14 September 2022

The paper mill in Kawerau. File photo. Photo: Flickr/Kimberley Howell

The almost six-week lockout at Essity's Kawerau mill will come to an end on Monday 19 September.

Members of the Pulp and Paper Workers Union voted this morning to accept a revised offer from the company.

The offer from Essity matched a recommendation from the Employment Relations Authority for a 5 percent increase this year for workers plus a $4000 lump sum.

This will be followed by a 4.5 percent rise and $3000 next year before another 4 percent rise in 2024.

Union secretary Tane Phillips said the offer was "way better".

"Keeps up with inflation, keeps up with CPI [consumers price index] so we're very happy with that.

"It was very unfortunate that we had to fight so hard to get what was a fair and reasonable deal."

Since 9 August, 145 workers at the mill have been locked out without pay with some describing their financial situation as desperate.