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300 Cheese Jobs To Go
28 February 2006
By James Ritchie NZDWU National Secretary
300 jobs to go in Fonterra proposals to restructure secondary cheese processing in NZ The Dairy Workers Union has been briefed on a Fonterra proposal to shed 300 jobs in the restructuring of its secondary cheese processing capacity within New Zealand. Secondary cheese processing is currently done at four NZ plants which were part of the Mainland company under the Fonterra umbrella prior to the carve up of assets with Graeme Hart's Rank Group. These sites remained with Fonterra and are: Grated Cheese, Panmure, Auckland Bridge St, Eltham Collingwood St, Eltham MacAndrew Rd, Dunedin. Fonterra's preferred option is to consolidate all cheese secondary processing at the Collingwood St site in Eltham. This will mean a capital upgrade with major investment in automated packing lines. This would mean the complete closure of sites in Dunedin and Auckland and a partial closure of the Bridge St Eltham site, about 100 DWU members jobs in each location. Closures would take affect in 10 to 12 months time.
"This announcement is a bitter blow to hundreds of workers and their families.
It is also a serious setback to communities in Auckland, Taranaki and Dunedin," said Dairy Workers Union National Secretary James Ritchie after being briefed by company representatives. The NZ Dairy Workers Union and Fonterra are now entering into a period of consultation over the proposals prior to a final decision by the Fonterra Board in April. Fonterra have given an undertaking to provide all necessary information to the Union. This information will be subject to careful analysis by the Dairy Workers Union and if there are any viable options to prevent job losses and/or closures, these will be vigorously advocated in the consultation process. Commenting on Fonterra's announcement James Ritchie said:
"We will examine Fonterra's preferred option in the context of its impact on NZ jobs and jobs in the communities which have contributed to the company's success as a global food company.
Fonterra acknowledges an obligation to support NZ farmers and it should extend that obligation to support NZ workers. Dairy industry jobs should not be exported to Australia or anywhere else and we will scrutinise Fonterra's proposal in this context." Affected staff were briefed by company representatives at site meetings on Wednesday 22 February. NZDWU officials were in attendance. For further information contact: James Ritchie, National Secretary - 021 554 994 or (07) 8390239
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