Some lower-paid general staff at the University of Otago will receive a pay rise of almost 9%, thanks to a landmark flat-rate pay offer.
The university has offered more than 2000 members of six unions a base increase of 3.7% or $2000 - whichever is the higher - plus a further 1.53% for academic staff and 0.51% for general staff paid for from Government funding earmarked for salary catch-ups in the tertiary sector.
Union members with less than five years' service have also been offered a fifth week's annual leave.
Members are expected to ratify the offer when a postal ballot was held next week, combined unions lead negotiator Marty Braithwaite, of Christchurch, said yesterday.
The new pay rates would be back-dated to July 1.
Otago's offer was the most generous of any of the country's eight universities, he said.
Otago was the also the only university to offer a flat-rate payment which benefited those on the lowest pay rates.
"We're pretty satisfied with Otago's offer because it means salaries will increase above the rate of inflation, it closes the gaps between salaries, and it gives some staff an additional week's holiday and brings them into line with everyone else."
The impact of the flat rate would see 61% of general staff union members receive an increase of more than the average of 4.21%, Mr Braithwaite said.
A small number of technicians, administration and clerical workers and library assistants on starter pay scales of $23,000 per annum would receive an increase of 8.74%.
The flat-rate offer had been made because of the university's awareness of the rapid rise in the cost of living over the past year, vice-chancellor Prof David Skegg told the university council meeting yesterday.
When approached after the meeting, university managers were unable to say how much the pay offer would cost.
The university has budgeted $292 million for academic and general salaries and staff-related costs this calendar year.
