The dispute between Telecom and the engineers’ union, EPMU, is growing as Telecom seeks to make its 700 lines engineers redundant and then have them reapply for their jobs – but as dependent contractors to another contracting company Visionstream. Telecom’s plan would mean the workers would have pay up to $60,000 each to buy their own vans and equipment, set up limited liability companies, and take on the financial risks associated with the industry. They also face a drop in income, would lose their collective negotiating power, and be left with no employee rights.

EPMU believes that Visionstream needs workers to agree to its terms by 1 October, otherwise it will not have the capacity to fulfil its contract with Telecom. EPMU members are avoiding signing up as independent contractor to Visionstream, in the hope that it can prevent Telecom from successfully contracting out its lines engineering services.

It is calling on the public to support these workers by donating money to get workers through the next couple of months. Other unions got behind the dispute last week, saying that, if Telecom succeeds in this dispute, their way of treating workers will spread” to other workplaces, as more employers attempt to contract out their current employees on reduced pay and conditions.

CTU president Helen Kelly is urging the government to stop talks with Telecom over the roll-out of broadband until it agrees to treat its workers better.

At the”  annual general meeting of the Auckland University branch of TEU this week, an EPMU representative, Bill Newson, outlined the issues facing his members in the dispute. In response, the TEU branch presented him with a cheque, and members donated cash from their own pockets, for the relief of the striking workers.