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

 

Crown Accounts: Smaller-Than-Expected Four-Month Deficit

The New Zealand government's accounts recorded a smaller-than-forecast deficit in the first four months of the fiscal year on a higher-than-expected inflow of corporate and goods and services tax. More>>

ALSO:

On For Christmas: KiwiRail Ferries Back In Full Operation After Quake

KiwiRail’s Interislander ferries are back in full operation for the first time since the Kaikoura earthquake, with the railspan that allows rail wagons to be loaded on the Aratere now restored. More>>

ALSO:

Comerce Commission Investigation: Prosecutions Over Steel Mesh Labelling

Steel & Tube Holdings, along with two other companies, will be prosecuted by the Commerce Commission following the regulator's investigation into seismic steel mesh, while Fletcher Building's steel division has been given a warning. More>>

ALSO:

Wine: 20% Of Marlborough Storage Tanks Damaged By Quake

An estimated 20 percent of wine storage tanks in the Marlborough region, the country’s largest wine producing area, have been damaged by the impact of the recent Kaikoura earthquake. More>>

ALSO:

ACC: Levy Recommendations For 2017 – 2019 Period

• For car owners, a 13% reduction in the average Motor Vehicle levy • For businesses, a 10% reduction in the average Work levy, and changes to workplace safety incentive products • For employees, due to an increase in claims volumes and costs, a 3% increase in the Earners’ levy. More>>

Women's Affairs: Government Accepts Recommendations On Pay Equity

The Government will update the Equal Pay Act and amend the Employment Relations Act to implement recommendations of the Joint Working Group on Pay Equity. More>>

ALSO:

Immigration: Increase In Seasonal Workers For RSE

The current cap will be increased by 1,000 from 9,500 to 10,500 RSE workers for the 2016-17 season. Mr Woodhouse says the horticulture and viticulture industry is New Zealand’s fourth largest export industry, producing almost $5 billion in exports. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news