MBIE investigation pending of Chorus UFB contractors

E tū understands the employment practices of Chorus’s contractors and subcontractors will be the subject of an inquiry by the Ministry of Business, Innovation and Employment.

This follows cases of unpaid workers on a “volunteer” scheme run by Chorus subcontractor, UCG in Nelson – which Chorus subsequently put a stop to.

A second case involved a Nelson man who was paid $12 an hour – more than 20 percent less than the minimum wage – by Chorus subcontractor, Frontier Communications.

E tū has welcomed the inquiry, saying it comes as workers for another Chorus contractor come forward.

“Our understanding is, the news of this inquiry has seriously rattled Chorus which has instructed its contractors and subcontractors to make sure their house is in order,” says Joe.

“We’re very supportive of this investigation – we’ve been seeking this for months.”

In the latest cases to emerge, migrant cablers faced multiple breaches of their employment contracts. For the first few weeks, instead of wages they only received an allowance of about $150 per week. Then, money was deducted from their pay though they weren’t told why.  They also worked up to 80 hours a week, some of it unpaid, while some weeks there was no work at all.

“Chorus has said any labour abuses involving its contractors are isolated cases,” says Joe.

“We think it’s the tip of the iceberg, but we do know Chorus has moved swiftly to issue a warning to its contractors.

“We have said before that any inquiry needs to ensure strict confidentiality for any workers prepared to speak out about what’s happening. That’s the only way to find out just how widespread this exploitation is, and to protect the jobs of these vulnerable workers,” he says.


For more information, contact:

Joe Gallagher E tū Industry Coordinator, Communications ph. 027 591 0015

Joe can put interested reporters in touch with two workers who are prepared to speak with media on condition of anonymity.