Source: Radio New Zealand
IKEA’s first Auckland store opens on December 4 Marika Khabazi / RNZ
New Zealand retailers need to “step up” to keep up with the wages and conditions offered by international businesses coming into New Zealand, one union says.
Ikea said on Wednesday it was hiring an extra 85 staff for logistics and food services, and adding evening shifts for stock replenishment.
That will take its total New Zealand workforce to 561.
It is also paying staff an entry level rate of $29, which increases to $31 as they progress to the next level.
They can also access a subsidised transport programme offering 75 percent off commuting costs, five weeks of leave, subsidised meals and a staff discount.
“The response from New Zealanders since opening has been incredible, and we’re proud to be growing our team to meet that demand while staying true to our values,” said New Zealand people and culture manager Lauren Clegg.
“Opening in a new market has its share of challenges and learnings for our team. We’re committed to listening, improving and supporting our co-workers along the way. By investing in competitive pay, meaningful benefits and everyday support, we want people choose to grow their careers with us as we continue building Ikea in Aotearoa together.”
Rudd Hughes, retail secretary for Workers First Union, said Ikea’s offer was a good one.
The union is due to initiate collective bargaining in the next week for staff at Ikea.
But he said the union had spoken to Ikea before the shop even opened.
“They have made it quite clear that their wages will be living wage and above. And so, although they didn’t start off with a living wage, they’ve now gone to the living wage… we’ll be looking to improve that, but also not just on the wages, but also other conditions.”
He said Costco and Kmart also offered the living wage or more.
“Other New Zealand-based brands or Australian-based brands like Woolworths, Foodstuffs, Briscoes, Warehouse, they’re all lagging behind and lagging significantly.
“Kiwi businesses really need to kind of step up to the market and pay their workers what they need to actually live in a society.”
He said Ikea’s hiring would have an impact on other retailers.
“It’s a significant player in the economy, I’m sure they’ll probably branch out as well. We welcome that. We also welcome the way in which they have worked alongside us to develop a relationship with the union, which isn’t that common.”
He said the union would use examples like Ikea as benchmarks in bargaining with other employers.
“The living wage should be the minimum for any worker in this country, but particularly retail workers as well. We have a large number of retail workers in this country.
“Why shouldn’t they have a living wage so they can partake in society, they can be part of society and they don’t have to scrimp and save?”
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
