For immediate release
Monday 28 June 2010
Westpac workers seek to inflation-proof their pay
Negotiations for one of the country’s largest private sector collective agreements start tomorrow with Westpac workers
seeking to inflation-proof their pay in the face of significant cost increases.
“Treasury is predicting inflation will hit 5.9% so we are seeking a settlement that gives staff a pay increase now and
an inflation adjustment next year if the cost of living is higher than what we negotiate,” said Finsec Campaigns
Director Andrew Campbell.
“There is a lot of uncertainty in the economy at the moment with workers facing increased costs due to factors such as
the introduction of the ETS, increases in early childhood education costs and GST rises. A pay increase now and an
inflation adjustment next year is an accurate and fair way to make sure workers’ pay doesn’t go backwards,” said
Campbell.
“Pay outcomes in large private sector agreements can have a broader impact and influence market rates. We are calling on
Westpac to be a leader and make sure it provides a wage increase that sees workers pay at least hold its value as a
minimum,” said Campbell.
“Westpac made $125 million in the first six months of this year and our pay claim will only cost around 2.5% of that
profit. With wage growth lagging behind economic growth it is important that employers who can afford to provide real
compensation for cost of living increases do so,” said Campbell.
“Investing in local workers’ wages is a way to retain more of the bank’s profits in New Zealand and can assist workers
to save more as well as meet cost increases,” said Campbell.
ENDS