After almost a year of negotiations, Simplot workers in Tasmania and New South Wales have agreed to a 6 percent pay rise over three years.
Workers in Devonport and Ulverstone voted in favour of the new agreement, which was reached between the company and unions in November last year, ABC News reports.
In October, The Fair Work Commission announced it would facilitate talks between vegetable processor Simplot, and the Australian Manufacturing Workers Union (AMWU).
The unions initially called for a 12 percent pay rise over three years, while Simplot offered four percent.
At the time, the company said it needed to restore competitiveness before it can consider such significant pay rises, referring to the industrial action as “reckless”.
Managing director Terry O'Brien said the company had achieved flexibility to run the plants at different times while compromising on a pay rise for Devonport and Bathurst workers.
“We didn't want to pay anything in year one to those vegetable plants and we have,” he said.
“Other than that we've maintained a number of benefits that we would've preferred to not have but we've let them go in return for these flexibilities.”
He said in return, the company would have more flexibility around when the plants can operate, based on seasonal factors.
“The main thing that's been achieved is that we've kept all these jobs in Tasmania and we're going to continue to pay people well and truly above-award wages – which we do,” he said.
“I think the outcome is really just … business as usual and everybody wins.”