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

 

Lower Hutt Factory to Make 25 Staff Redundant

Lower Hutt Factory to Make 25 Staff Redundant

 

Lower Huttmanufacturer of baby strollers – Tritec Manufacturing Ltd – is to make 25 staff redundant as a result of a severe downturn in its market both in New Zealandand offshore.

Manufacturer of the well-known “Mountain Buggy” range, Tritec has been in business for over 10 years and is still owned by the two of the founding shareholders.  Ninety percent of its product is exported.

“The company has suffered badly as a result of the international downturn,” says its Acting Chief Executive Peter Robertson.

“In the last 12 months the company has lost one third of its sales and looking forward there are indications of further deterioration.  As a result the factory is operating at only half its normal capacity.

“Clearly, this situation is not sustainable.  Attempts have been made to minimise the impact by reducing costs, including management and administration staff over the last three months through attrition, but that has not been enough.  Staff are a significant portion of the operational costs of the business and with the very existence of the company now at threat urgent cost reductions have become necessary.

“Our staff are very important to us and have made a significant contribution to the company during its successful years of growth and trading.  We deeply regret that we are compelled to take this action and appreciate the impact it will have on our staff, and particularly at this time of the year, but the situation is serious, which is why such radical action is required,” says Peter Robertson.

Tritec presented a proposal to staff last week on the need to reduce numbers.  There has been considerable consultation on the matter with both staff and the union.

“We have now taken the decision to proceed with the redundancies and decisions will be made over the next few days as to who will be affected.  Staff, the Unionand creditors have been notified of the actions we propose to take.

“There is no redundancy provision in the employment agreement with staff.  Any ability to pay redundancy has to be assessed in the context of the company’s position.  At this point we are not in a position to make any undertakings.

Ends

 

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 



BusinessNZ: Third Snapshot Report Reveals $9.5 Billion Business Investment In Climate Action

Signatories to the Climate Leaders Coalition have committed to invest $9.5 billion over the next five years to reduce emissions from their businesses, as revealed in their third anniversary snapshot report released today... More>>

Digitl: The home printer market is broken
Printers are more of a security blanket that a serious aid to productivity. Yet for many people they are not optional.
Even if you don’t feel the urge to squirt ink onto dead trees in order to express yourself, others will insist on printed documents... More>>


Serious Fraud Office: Commences Enquiries Into Allegations Of COVID-19 Wage Subsidy Fraud
The Serious Fraud Office has commenced a number of enquiries into alleged abuse of the Government’s COVID-19 Wage Subsidy. Director Julie Read said the allegations relate to multiple complex cases of potential fraud that have been referred to the agency following extensive investigations ... More>>

ComCom: Companies In Hot Water For Selling Unsafe Hot Water Bottles And Toys

A wholesaler and a retailer have been fined a total of $140,000 under the Fair Trading Act for selling hot water bottles and toys that did not comply with mandatory safety requirements. Paramount Merchandise Company Limited (Paramount) was fined $104,000 after pleading guilty in the Manukau District Court... More>>



Reserve Bank: Robust Balance Sheets Yield Faster Economic Recovery

Stronger balance sheets for households, businesses, financial institutions and the government going into the pandemic contributed towards maintaining a sound financial system and yielding a faster economic recovery than following previous deep recessions... More>>


Transpower: Releases Independent Report Into Events Of August 9
Transpower’s Chief Executive Alison Andrew has today released an independent report into the grid emergency of August 9 when insufficient generation was available to meet demand, leading to some customers being disconnected... More>>