Because of the break in the pay talks, about 100 workers at Kaitaia's Juken Nissho mill are taking industrial action. The exports specialized board products, mainly to Japan and is the town’s biggest Company.

According to National Distribution Union (NDU) wood sector secretary Stan Renwick, Workers at the triboard mill would work to rule and could strike. For an 18 month period workers of the Company were expecting 3.5 % pay augment, however the Company had offered only 1.75 % for the same period.

In the negotiation about 100 workers are involved, including the NDU and the Engineering, Printing and Manufacturing Union (EPMU). Juken General Affairs Manager Mike Fisher is disappointed by the unions' reaction. "Despite the fact that in the last financial year the company continued to be affected by the global financial crisis and recession, we made what we considered was a fair and reasonable offer," he said.

The offer given by the Company included an immediate 2 % wage and allowance increase plus another 1 percent over the next year. According to the Company, it has given pay increases to its salaried workers every year despite years of difficulty in the timber processing industry. Some 30 timber processing mills have ceased to operate in the past two years with significant loss of jobs.