Telecom says it will not be drawn into a wage dispute involving one of its maintenance contractors and the contractor's staff.
Engineering company Downer EDI has a contract to help maintain Telecom's broadband network but the Engineering, Printing and Manufacturing Union (EPMU) said it was concerned at low wage levels among about 250 members working there.
Downer has told the union its tight profit margin has left it no room to move on wages.
The union was critical of Telecom and suggested the company needed to re-assess its contract pricing.
But Telecom said the company had a good relationship with Downer and did not want to get involved with its contracts issues.
‘‘We're not about to jump in and tell them how to run their business or how to manage labour relations, policies or negotiations,'' Telecom spokesman Phil Love said.
EPMU national secretary Andrew Little said it appeared contracting out arrangements in the telecommunications sector were being used to drive down wages at a time when a skills shortage was biting.
The situation did not bode well for Telecom's new network management company, Chorus.
‘‘If Telecom is serious about Chorus working to achieve the kind of broadband capacity we need to be internationally competitive, they'll increase their funding to ensure we keep the skilled and experienced workers we need to do it.''
He said some Downer staff were being paid up to 50% less than their Australian counterparts.
The union said negotiations had been going since the middle of last year and there was still a significant gap between what staff were being offered and what they considered fair.
