The Public Service Association has warned the lockout could impact tourism centres like Hanmer, popular for its thermal pools, pictured.

An industrial dispute in tinder dry North Canterbury has led a local council to issue a lockout notice against its own water and wastewater workers until they sign a new agreement.

The move has led to a war of words between the Hurunui District Council and the union representing the five utilities officers involved, the Public Service Association (PSA).

The union described it as an extreme reaction and warned farmers could be without water during the hottest months of the year if staff were not available to fix supply issues.

MATHEW HONEYFIELD The Hurunui District Council has rejected the PSA's claim that the lockout could affect farmers' abilities to access water over the dry summer months.

"And visitors to Hanmer and other tourist centres could have their holidays ruined if there are problems with sewerage or drinking water that can't be remedied," PSA organiser Shane Lean said.

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Council chief executive Hamish Dobbie dismissed the claims as scaremongering, and said the PSA was unaware of the steps in place to make sure service levels were maintained.

The five affected union members would be locked out from council sites effective January 2 – a situation that would continue until they signed a new collective agreement.

The workers disagreed with the on-call allowance in the contract and had issued notice of a partial strike, planned from December 28, where they would work their usual hours but refuse to be on-call.

"They're trying to strong arm us by going on strike. We've said we can't tolerate this, we need to get the collective signed, so sign it or be locked out," Dobbie said.

He described the strike as timed to cause the maximum possible disruption, and said it affected the five other members of the 10-strong utilities team during a time when demand for water was at its highest.

"These guys choosing to withdraw their labour at this time, that puts pressure on the staff that are left, so they might not get as much time with their families."

The utilities officers were responsible for servicing the district's water and sewerage networks, including repairing leaks, fixing pumps and making sure supply was available.

The PSA members and the council had been negotiating over a new collective agreement since May. The sticking point was the rate of the on-call allowance.

Utilities officers were expected to be on-call one week in five. The rate for being on-call from Monday to Friday was $20 a day, and $50 for weekend days and public holidays.

The union said that averaged out at about $2 an hour, a rate they believed was unlawful. It also criticised the council for inflaming the situation before a planned mediation meeting on Wednesday.

"Our members are asking for fair recognition of the work they do, given the fact their on-call hours are not their own," Lean said.

The union wanted an extra $20 added to the on-call allowance. Lean hoped mediation would be successful, but said the lock-out and lack of pay would impact workers.

Dobbie said it was misleading to use the $2 figure as it was an allowance for being on-call, not an hourly working rate. If they were called in, workers were paid time-and-a-half, he said.

The utilities workers received, on average, about $75,000 a year. Dobbie said that compared favourably against other councils in the country, and called the bid for an increased on-call allowance a "money grab".

"We're very clear on what we want: I want them to sign the agreement and come back to work," he said.