Solid Energy's North Island workforce is back on strike after rejecting an offer from the company.

Talks are continuing today.

Solid Energy was hopeful of reaching a settlement but spokeswoman Vicki Blyth said if conditions under the multi-employer contract agreement (MECA) could not be agreed, layoffs were still on the horizon.

State-owned Solid Energy’s latest industrial spat follows a pattern of dispute between its workers and major contractors.

This afternoon, negotiations reached an impasse at the Rotowaro mine near Huntly, where the latest action started.