Workers at the Kawerau toilet paper factory who've been locked out of their jobs for five weeks have agreed to accept a pay rise offer and will return to work next week.
READ MORE: Toilet paper mill workers to consider offer from employer
The paper mill's owners, Swedish multinational Essity, agreed last night to accept the recommendations of the Employment Relations Authority with a view to ending the lockout, and have withdrawn all legal action against the union.
Workers and union representatives met in Kawerau throughout the morning to consider their response to the ERA recommendations.
Essity's lockout has been central to a bitter standoff between the parties, with 145 staff now having been without work for five weeks.
They will return to work on Monday after the Pulp and Paper Workers Union voted to accept a revised offer.
The deal keeps workers' incomes ahead of forecast inflation for the next three years, with a 5% increase and a $4000 lump sum in 2022, a 4.5% increase and a $3000 lump sum in 2023 and a 4% increase in 2024, the union said.
Union secretary Tane Phillips said the company's behaviour had been "brutal" and was relieved the lockout was over.
"Essity locked out our members for nearly six weeks without pay to try to starve them out. The company blocked them from accessing their own retirement savings. And when that wasn't enough they targeted individual workers with more than half a million dollars in legal threats," Phillips said.
"But while the company's behaviour has been ugly, our members refused to be intimidated and have stood strong right through.
"We have been overwhelmed by the support and donations from the Kawerau community and people all across New Zealand. This is a lesson for big overseas corporates who think they can bully Kiwi workers that the community won’t tolerate it."
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