A wage deal has been struck between Pak'nSave and New World owner Foodstuffs North Island and distribution workers.
Staff at the company's distribution centres will get a pay increase of up to 25 percent over the next two years as well as a rewards scheme for high performing employees and other employyment benefits.
The pay for some staff members in Auckland will increase to $25 an hour. Labour hire workers will also be converted to permanent work within six months.
"We are pleased that thanks to a high degree of engagement with our warehouse team, we have agreed a positive outcome which is to the mutual satisfaction of all parties," said CEO Chris Quin.
"Together we can continue to meet the needs of our customers with the on-going support and commitment from our team, and we are excited by the continued level of interest people have for working on the team at Foodstuffs."
Jared Abbott from First Union says this sets a new benchmark.
"Not only do the labour hire workers now get converted after six months, they also have disciplinary rights so they can't have their hours reduced without going through a fair warning process which is something most labour hire workers don't get in New Zealand," he said.
He said the deal had been achieved without strike action and had come at a good time for the workers.
"This deal not only was achieved without strike action and really deals with a lot of the big outstanding issues that we had on these sites, but it's really favourable to workers at a time when people are really feeling the pinch," he said.
Newshub.
