AUSGRID employees and union members across the Hunter will strike from next week, in an outraged response to the company's refusal on offering a suitable wage rise to reflect the cost of living.
From August 1, Electrical Trades Union (ETU) members will walk off the job in Cessnock, Singleton and Muswellbrook.
Up to two million Ausgrid customers could face inconveniences as part of the industrial action taking place in Sydney and other parts of regional NSW.
Around 1000 ETU members voted in favour of a range of actions including work stoppages, overtime bans, switching bans and locking bans.
"ETU members haven't yet received an offer that will allow them to keep up with cost of living increases," ETU NSW/ACT secretary Allen Hicks said.
Employees are seeking an annual pay raise of eight per cent, Ausgrid offered seven and 93 per cent of union members rejected the offer earlier in July.
Mr Hicks said the "insulting pay offer" has left workers with no choice but to launch industrial action.
"Ausgrid could instantly prevent any maintenance delays or inconveniences to the community with a serious offer that helps workers keep up with the spiralling cost of living," he said.
"Ausgrid workers' real wages have gone backwards with the cost-of-living crisis eroding the value of their last pay rise. Their experience is not recognised or rewarded, despite their critical role providing a safe and reliable electricity network for millions of NSW homes, businesses, schools, hospitals and infrastructure."
Households and businesses could experience maintenance delays and other inconveniences unless Ausgrid offers workers a serious pay rise that helps them keep up with the soaring cost of living.
However the union has ensured emergency work will not be affected by the action.
Ausgrid released a statement expressing its disappointment by the ETU's decision and industrial action, after putting forward a "strong offer" on July 12.
The three-year offer includes a first-year increase of 7 per cent plus 0.5 per cent super increase, a second-year increase of 2.7 per cent (or CPI if it is higher) plus 0.5 per cent super increase and a third-year increase of 2.7 per cent (or CPI if it is higher).
Ausgrid's Group Executive of People & Culture Celina Cross said the wage offer is fair and reasonable.
"We respect the rights of the ETU, however, we are disappointed this action has been taken. Our offer is fair and reasonable for our people and affordable for communities we serve," she said.
"It recognises cost of living pressures and rewards our people for their hard work."
Ausgrid continues to hold weekly discussions with all parties to reach an agreement.