Massive job losses at Fisher & Paykel blow to communities and manufacturing sector

The loss of 180 jobs as iconic manufacturer Fisher & Paykel will close the door of their East Tamaki manufacturing plant this year is a major blow to the local community and shows that the manufacturing sector is not recovering nearly a decade after the global financial crisis.

“180 people will lose their jobs, and that has a huge impact on their families and communities,” says Bill Newson, E tū national secretary.

“There simply aren’t comparable jobs out there. Many people will have to take insecure, low-paid work which doesn’t pay the bills. They may have to move out of their communities or work two or three jobs just to make ends meet. That’s the cost of losing local manufacturing.”

Fisher & Paykel says they are closing their manufacturing operations in New Zealand due to declining market demand for the products manufactured in East Tamaki. The investment required to return the platforms and factory to competitiveness is prohibitive.

“We’ve been working with the company for eight years but it seems no matter what we do, we cannot save these jobs,” says Bill.

“Our manufacturing sector has been hung out to dry by a government which has consistently failed to support broader R&D and innovation, has not acted on the lack of incentives for manufacturers to invest in high-value secure jobs, nor on creating a skilled, high-wage economy based on building things here instead of shipping raw product overseas.

“It’s a huge loss to the 180 people who have lost their jobs, to our manufacturing industry, and to our country as a whole.”

The phased closing of the operation will be completed by the end of 2016. E tū members will be entitled to redundancy compensation as part of their collective agreement.

ENDS

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