Multinational cement manufacturer Holcim admitted it was in a difficult position after failing to meet its statutory obligations to act in good faith when making 32 New Zealand seafarers redundant last year.
The Maritime Union of New Zealand took Holcim New Zealand Limited to the Employment Relations Authority following breaches of their collective employment agreement. The dispute arose after Holcim sold its coastal cement carrier, the MV Buffalo, and laid off the crew to shift transport operations to the road network. Employment Relations Authority member Nicola Craig previously granted an interim injunction to halt redundancies for six seafarers during the investigation.
Craig determined that Holcim breached its good faith duties by failing to consult the union and staff as commercial circumstances changed between February and April 2025. While Holcim attempted to secure similar employment terms with the buyer, Nova Marine, it did not provide the union with enough information to protect its members. The company originally sought identical employment terms for the crew but pivoted when the buyer rejected the condition.
Holcim subsequently presented a fixed-term agreement from a Panamanian shipping company that omitted pay rates and lacked time-off provisions. Craig concluded that Holcim misled the unions by promising closely reflected arrangements while knowing identical terms were increasingly unlikely to be supported by the buyer.
