The article provides specific and compelling data on the wage and benefits gap. It states that workers at the Bayswater plant are paid approximately $5 less per hour than those at other Fonterra locations in the state. The most significant disparity, however, lies in redundancy payouts, with Bayswater workers short-changed by 78 weeks compared to their colleagues at sites like Cobden, Darnum, and Stanhope. This clear difference in compensation is a key driver of the strike and a major point of contention for the union.

This labor action follows six months of unsuccessful negotiations. The union and its members are seeking a four-year agreement that addresses these inequities, including a base rate pay increase and an improved redundancy payout of 60 weeks. The workers are also pushing for better work health and safety measures, such as lifting devices, to close the gap in entitlements and create a safer, more productive work environment, underscoring their commitment to both fair pay and humane working conditions.

Neil Smith, the United Workers Union National Dairy Coordinator, argues that Fonterra can afford to meet the workers’ demands. The article adds a crucial piece of dairy economics context by noting the company’s significant financial standing and its $4 billion sale price. This information is intended to bolster the union’s case that the requested pay and benefits are not only fair but also financially feasible for the company, and that the continued refusal to meet demands is a conscious decision.