Background
In 2003 Progressive closed its Auckland and Christchurch distribution centers and rehired the redundant workers on lower pay, the closures ended the former national agreement and resulted in a NZ$2.50 per hour pay gap between the four sites. On 25 November 2005 Progressive Enterprises was brought by Australian retailer Woolworths Limited, the country's largest private employer.
On Friday 25 August 2006 workers at the Progressive Enterprises distribution centres began a 48 hour long strike in support of a nation-wide collective agreement with equal pay rates and existing allowances combined into a site allowance of up to $2.50, an 8% pay rise and an extra week service leave. On the 28th they voted unanimously to extend the strike. Union organiser Stan Renwick stated "This strike has become much more than a fight between distribution workers and Progressive, it's becoming a fight between the communities of Mangere, Palmerston North and Christchurch and $1.1 billion dollars of Australian profit," Following the strike the company locked out the workers indefinitely, calling the union demands unrealistic.
Read more about this topic: 2006 Progressive Enterprises Dispute
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