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E tū & Chorus contractors discuss contract cuts

E tū union met today with Visionstream and UCG contractors to discuss big cuts by Chorus to payments for maintenance work on its copper and fibre network north of Auckland.

The changes affect the codes which determine what the contractors are paid, and these have been slashed by almost a third, says E tū Industry Coordinator, Joe Gallagher.

“The contractors were presented with new contracts and told to sign. The rates that determine their pay are set to drop by 30 percent, and they’re not happy,” he says.

“The new contracts also require they are available for work but there is no guarantee they’ll get any.”

Joe says the contractors are already struggling with rising costs and issues with mental health because of the pressures they face.

“All the costs and risks sit with them but many lack the capital to ride out a lean patch.”

Joe says Chorus committed to improving conditions for its contractors and subcontractors after an investigation found many were in breach of minimum employment standards.

He says in the wake of the investigation, Chorus did its own report, which recommended changes to ease pressure on its contractors, but “that’s not what’s happening here”.

“This latest move flies in the face of Chorus’s commitment to ensure the contractors receive a sustainable income.”

Joe says the meeting, which was hosted by the Telecom Contractors Association of New Zealand (TCANZ) discussed how the contractors and the union can work together to achieve better outcomes.


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