New Zealand’s professional firefighters have accepted a new collective agreement from Fire and Emergency NZ (FENZ), following an 18-month dispute over funding and working conditions which included protests and strike actions.
The agreement will increase firefighters’ pay rates by around 20% to 24% and will provide additional benefits, such as early screening for certain cancers, the NZ Herald reported.
FENZ and the leadership of the New Zealand Professional Firefighters’ Union (NZPFU) agreed to the terms earlier this month, but it has only been now made official after 97.7% of firefighters voted in favour of the agreement.
The NZ government intervened in the dispute and offered a loan that will provide additional funding on top of what FENZ will provide. FENZ’s main source of funding are levies from the insurance industry, not through the Crown.
Internal Affairs Minister Jan Tinetti announced a $75.4 million loan to FENZ, which will increase the benefits it can provide to firefighters.
“The $75.4 million we provided to Fire and Emergency New Zealand is a repayable capital injection loan,” Tinetti said. “It meant they could provide an offer which was acceptable to firefighters, ensure the services that we all value could continue and that they got the increase to pay we know they deserve.”
“Our aim has always been to do right by our people, while ensuring the sustainability of Fire and Emergency for all New Zealanders,” said FENZ chief executive Kerry Gregory. “I want to acknowledge and thank everyone involved and impacted for their patience as we worked through this lengthy and challenging process alongside the NZPFU.”
The general insurance industry, represented by the Insurance Council of New Zealand (ICNZ), has long been opposed to the way FENZ is funded, as it makes insurance more expensive.
According to ICNZ CEO Tim Grafton, FENZ’s current funding model is unfair, as the people who choose to insure their properties end up paying for fire and emergency services for everyone.
