The workforce at Tiwai Point aluminium smelter plans to start industrial action on Monday due to stalled negotiations. The smelter’s owner, Rio Tinto, insists it offers a competitive employment package.
Members of the E tū union at New Zealand’s Aluminium Smelter in Southland, operated by Rio Tinto, have been negotiating since 2024.
E tū Director Mat Danaher informed RNZ that the conflict centers on workers’ fundamental right to organize.
“We view this impasse as an intentional anti-union strategy,” he stated.
“They seem uninterested in establishing a collective employment agreement. It appears they prefer workers to remain as individuals, making it easier to manipulate and silence them.”
Danaher highlighted Rio Tinto’s history of anti-union actions, pointing out similar instances in Australia where workers had resorted to industrial action.
He emphasized that taking industrial action is a last resort, but Rio Tinto must recognize that Tiwai Point smelter employees are not to be underestimated.
“This is a globally successful corporation,” Danaher remarked.
“In 2025, it reported an underlying EBITDA of $US25.4 billion ($NZ43bn) and a profit after tax of $US10bn ($NZ17bn), alongside ordinary dividends of $US6.5bn (NZ$11bn).
“The workers who maintain operations at Tiwai deserve to share in this prosperity.”
Production worker Dee, also a delegate, asserted that their demands are reasonable.
“We aren’t being unreasonable. We seek decent work conditions, an agreement that acknowledges our efforts, working conditions, and contributions.”
In a statement, Rio Tinto claimed that New Zealand’s Aluminium Smelter believes its offered terms and conditions are competitive.
A company spokesperson noted that the organization is well-positioned in both Southland and the broader New Zealand market.
“We will continue to engage with the union and all our staff in good faith and have confirmed that mediation will resume on 20 May.”
The spokesperson added that the smelter’s priorities include “safety, environmental stewardship, and ensuring stability in our operations and local communities”.
“Despite the challenging economic climate for many businesses, we are proud to offer our team members and prospective employees market-leading benefits, which we will continue as part of Tiwai’s commitment to being a great workplace.”
Around 185 E tū members are anticipated to participate in industrial action on 4, 6, 8, and 10 May.
