Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Summit Wool Spinners To Close At Cost Of 192 Jobs



Joint media release: EPMU & FIRST Union
Thursday January 31, 2013

Summit Wool Spinners To Close At Cost Of 192 Jobs

Summit Wool Spinners has this afternoon informed staff it will close its Oamaru plant, citing the high exchange rate as a contributing factor.

The closure will affect all 192 workers at the site including management.

Summit Wool Spinners has sold the plant to Godfrey Hirst subsidiary Canterbury Spinners Limited, which operates plants in Lower Hutt and Dannevirke.

A closure date had not been finalised but it will be some time around the end of February.

Members of the EPMU and FIRST Union were told of the decision at a site meeting at 3.30pm this afternoon. The workers will receive redundancy compensation through their union collective agreements.

EPMU organiser John Gardner said that like many other manufacturing firms, Summit had been hit hard by the high New Zealand dollar.

“Summit is the second largest employer in Oamaru and has been a part of the town for 130 years. These redundancies are devastating for staff and for the whole community of Oamaru which relies so heavily on these jobs.

“Summit has been a very good employer and didn’t want to make these redundancies, but the government’s refusal to act on the overvalued exchange rate or provide any kind of strategy for manufacturing means they were left with few options.”

Paul Watson, FIRST Union Textiles Secretary, said the textile industry was facing difficult times, and Summit’s announcement followed the closure of a Norman Ellison Carpets factory in Onehunga last year with 80 job losses.

“This must serve as an urgent wakeup call for the government to be more proactive in its support for manufacturing. Manufacturers have been completely let down and workers have paid the price for this inaction through job losses.”

The announcement comes as hearings got underway this week in a Parliament Inquiry into Manufacturing. Manufacturing is New Zealand’s third largest employing industry and has lost 40,000 jobs in the last four years.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

By May 2018: Wider, Earlier Microbead Ban

The sale and manufacture of wash-off products containing plastic microbeads will be banned in New Zealand earlier than previously expected, Associate Environment Minister Scott Simpson announced today. More>>

ALSO:

Snail-ier Mail: NZ Post To Ditch FastPost

New Zealand Post customers will see a change to how they can send priority mail from 1 January 2018. The FastPost service will no longer be available from this date. More>>

ALSO:

Property Institute: English Backs Of Debt To Income Plan

Property Institute of New Zealand Chief Executive Ashley Church is applauding today’s decision, by Prime Minister Bill English, to take Debt-to-income ratios off the table as a tool available to the Reserve Bank. More>>

ALSO:

Divesting: NZ Super Fund Shifts Passive Equities To Low-Carbon

The NZ$35 billion NZ Super Fund’s NZ$14 billion global passive equity portfolio, 40% of the overall Fund, is now low-carbon, the Guardians of New Zealand Superannuation announced today. More>>

ALSO:

Split Decision - Appeal Planned: EPA Allows Taranaki Bight Seabed Mine

The Decision-making Committee, appointed by the Board of the Environmental Protection Authority to decide a marine consent application by Trans-Tasman Resources Ltd, has granted consent, subject to conditions, for the company to mine iron sands off the South Taranaki Bight. More>>

ALSO: