Planned industrial action at Toyota Australia’s Altona plant in Melbourne, Victoria today was cancelled yesterday afternoon after the automotive manufacturer reached an in principle agreement with unions, headed by the AMWU and the Communications Electrical Plumbing Union (CEPU).
Toyota Australia confirmed that it has reached an in principle agreement with the unions which will see its factory workers receive a 13% pay rise over 42 months.
Pay rise will be split as follows: 2% pay increase which will be backdated to 6 September 2011; 2.5% increase from April 2012; 3.25% from April 2013; 3.255 from April 2014; and 2% from September 2014.
Toyota workers lock into these terms for four years to 2015. There will also be changes to employee bonuses and sick leave entitlements; the exact changes have not yet been confirmed.
The agreement will now be put to a vote by members, and should it be approved, it will form the new workplace agreement (WPA) for members.
The consensus is expected to see the long-running pay dispute between the car manufacturer and its workers cease following weeks of disrupted production that has significantly affected Toyota Australia’s factory operation and output.
Toyota Australia confirmed with Manufacturers’ Monthly that it looses $10 million in sales alone every day its workers are on strike. Last month Toyota workers went on strike for five days reportedly costing the car makers at least $50 million in sales.