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Home / Business / Small Business

Fire-hit packaging firm cuts 44 jobs

Hawkes Bay Today
26 Jan, 2012 11:00 PM2 mins to read

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Fire crews dampen down hotspots. Photo / APN

Fire crews dampen down hotspots. Photo / APN

A week after fire destroyed the factory of Hastings firm Hawk Packaging, 44 of its fulltime staff are jobless.

Bosses told employees on Tuesday there was "no choice'' but to let them go''.

The company's people development manager Kelly Fenwick said 43 factory staff and one office worker were made redundant.

Before the fire, 63 people were employed by the business making egg cartons and apple packaging trays.

"Obviously our factory burned down so there's zero production capability here and we won't be rebuilding at this site,'' she said.

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A new factory at Whakatu was already being built before the fire, and that would open in the next six to 12 months, Ms Fenwick said.

``But that's not ready and no production can take place at this site so we had no choice but to let people go.''

Ms Fenwick said Hawk Packaging would meet orders using imported supplies.

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Manufacturing would resume once the new factory was built and redundant staff would be the first considered for employment.

Staff would receive four weeks pay as compensation.

Ralph Dickinson, who worked as a material handler at the plant for two years before Tuesday's redundancy, said it was a stressful time because his son, James, 23, had also been laid off.

"We have to find employment now,'' Mr Dickinson said. "It has basically plunged us into a bit of a financial situation. There was actually sort of a roll of shock through the room, because essentially we have all got to live and look after ourselves.

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"I mean, yes, we are going to get first divvies on the new factory when it is built, but that's not going to be for another seven months.''

Mr Dickinson said even though Work and Income and local employers attended the meeting to offer assistance, nothing was guaranteed.

"Nothing has come through yet, everyone's talking the talk,'' he said.

Ministry of Social Development East Coast regional commissioner Lindsay Scott said recruitment offers had come from local employers Heinz-Watties, Mr Apple, Apollo and Wine Works.

Heinz-Watties spokesman Paul Hemsley said there was seasonal work available for those made redundant and those recruited would start work soon.

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