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Jobs are on the line at NZ Steel’s Waiuku plant (file photo)
Some 60 workers at a steel plant may be facing an unknown future as a steel plant restructures its Waiuku business.
NZ Steel’s pipe and hole plant has told workers they are carrying out a restructuring that could lead to the end of their work at the plant for most workers.
Employees may be redistributed elsewhere or may not have a job.
The plant restarted work on Tuesday under level three alert restrictions.
“We are a team of 60 people with an experience from five months to 45 years at the plant. We are happy to return this week, doing a job we are proud of, with the security of management to move forward.”
“By Thursday afternoon, we were faced with a proposal that shook all of that completely,” said union delegate Lance Gush.
Gush, a 14-year-old steelworker, is concerned about the impact the restructuring will have on a community that is already suffering the brunt of the Covid-19 crisis.
“I have co-workers with young families who have already experienced the loss of a job from one of their parents. Now, with this announcement, they have found that both mom and dad jobs are completely balanced.”
Gush said retaining their jobs is not just about workers and their families, but also about the future of New Zealand’s economy.
“There is an opportunity for the government to invest in the future of our country and stimulate our economy by supporting and using our national products, resources, and labor.”
A New Zealand Steel spokesperson said in an email that New Zealand Steel had started Ask about a proposal to close its Glenbrook steel tube and void manufacturing operations.
The company produces around 600,000 tons of steel annually, of which 20,000 tons are pipes and hollow sections.
“Tube sales have been returning a negative margin for at least 5 years under considerable pressure from imports.
“The review is carried out in consultation with employees directly and their union representatives to understand closure options or ways to return profitability to this manufacturing unit.”
They said the review had just started, so no decisions had been made, but that it would probably take five weeks.
Joe Gallagher of E tū union said there needs to be a level playing field so that New Zealand is not constantly undermined by cheap steel imports.
“There is much more we should do to support New Zealand steel and the manufacturing industry in general.”
“We know the long and often harrowing history of manufacturing here. Let’s start turning it around.”
He wants the government to take this opportunity to solve manufacturing problems, as part of a better rebuild after Covid-19.
