The New Zealand Council of Trade Unions and the Pulp and Paper Workers Union have launched a fundraiser to support the locked-out workers at Kawerau Mill.

Working people on strike at Kawerau Mill have been threatened with more than half a million dollars in damages by manufacturing giant Essity.

Essity, which manufactures for brands including Purex, Sorbent, Libra and Handee, is one of the largest hygiene and health companies in the world. In the first six months of 2022, it made a profit of $330 million NZD, with an increase in net sales of 27.8 per cent.

A total of 145 millworkers have been locked out of their workplace by Essity since August 9.

The strike was prompted after the company refused to pay wages in line with inflation.

Essity's pay offer was for an increase of 14.7 per cent over three years, comprising a 3 per cent increase every year plus an additional cash payment this year, says general manager of the Kawerau mill Peter Hockley.

'Essity has well-remunerated employees working at Kawerau who are amongst the highest-paid working in manufacturing in New Zealand, earning nearly double the median weekly earnings of New Zealanders.

'Our wage offer maintains attractive conditions, addresses inflation impacts on employees, and is more than fair and reasonable.”

Last week, Essity instructed the company's superannuation provider to block people from making financial hardship withdrawals from their own savings.

NZCTU President Richard Wagstaff says the company is trying to intimidate its workers.

'The retaliatory behaviour exhibited by Essity is shameful. New Zealanders will not stand for any company treating their people so poorly.

'This is a time of struggle for working people in Kawerau – and we all have a responsibility to give them the support they need.”

Pulp and Paper Workers Union National Secretary Tane Phillips has accused Essity of using starvation tactics.

'We must stand together with Kawerau Mill workers and their whānau.”

People can donate to the fundraiser at together.org.nz/kawerau_mill_workers_need_your_support

Meanwhile, one of New Zealand's biggest transport unions – representing rail and port workers – has thrown its support behind a group of Kawerau workers locked out from their jobs.

Rail and Maritime Transport Union general secretary Wayne Butson says the Union has made a substantial donation to the Pulp and Paper Workers Union to help the workers and their families.

Wayne says unions are moving quickly to support the locked out workers and the community in the employment dispute.

'These workers are simply wanting their wages to keep pace with the cost of living – the company offer will mean they are going backwards.”

He says it is unacceptable a highly profitable overseas company is using heavy handed tactics on a local workforce.

'This group of workers are long term, loyal employees who went the extra mile throughout the pandemic to produce essential products for New Zealand.”

Wayne says 62 of the workers have been personally threatened with legal action, along with their Union, over a minor issue with a strike notice.

'This is nasty stuff and this company need to be made aware they are damaging their global brand and their social license by their actions.”

The New Zealand Council of Trade Unions is backing the Kawerau workers and has launched a new fundraising campaign as well.

Essity is a Swedish-based multinational company that made $1.8 billion of profit globally last year. Its brands in New Zealand include Purex, Sorbent, Libra and Handee.