Holden’s three year pay rise agreement is seen as a step towards ensuring the viability of its local manufacturing operations into the future. Mike Devereux, Holden chairman and managing director, declared that the deal is part of a long-term vision that extends beyond 2020.
According to this agreement, workers will benefit from annual percentage increases, one-off payments and, potentially, further increases depending on the company’s performance. Each one will receive base pay increases of three per cent per year for the three years of the deal. The employees have the liberty to vote on the deal, and if they agree the deal is to be finalized by mid March.
“The whole team is being measured exactly the same way from the factory floor all the way up to the executive suite and it’s a pretty egalitarian approach to compensation,” declared Devereux.
Devereux also explained that for this deal to be effective, it needs to extend over the next decade, since it rewards workers at Holden for the success of the company, but also protects the structural costs by avoiding an increase at fixed rates.