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Lane Walker Rudkin - Source: ONE News -
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Wairarapa workers made redundant from textile company Lane Walker Rudkin (LWR) look set to receive a maximum of only 70% of their redundancy pay, their union says.
A total of 228 people have been laid off at LWR businesses around the country since it went into receivership in mid-May.
The redundancy payment, which includes holiday pay, was capped at $16,420.
But National Distribution Union general secretary Robert Reid says staff at the Wairarapa subsidiary, Bouzaid and Ballaben, have been told they will receive a maximum of 70% of the payment.
He says the Wairarapa workers feel discriminated against.
"Their Christchurch-based LWR colleagues have received full payment of their capped redundancy and holiday pay, no matter which of the LWR subsidiaries they worked for.
"Bouzaid and Ballaben workers and their union see no reason why Wairarapa workers should receive any less."
The company's receivers, Stephen Tubbs and Brian Mayo-Smith, had told the Companies Office all subsidiaries had been run as one entity, Reid says.
"Given this there is no reason why workers in one LWR subsidiary should be short-changed and treated differently."
