Two companies with links to the timber industry have introduced four-day working weeks to save jobs.
Seasonal cycles, lack of business confidence and changing global markets have led Lockwood and Tachikawa Forest Products in Rotorua to cut work hours to 32 hours a week.
Lockwood chief executive Bryce
Heard said his company had cut working hours, largely in the timber components factory, but was expecting to return to normal hours quickly.
"Orders are slow at the moment but we have a lot more in the pipeline. We are seeing over-reaction to international happenings that haven't really had much impact on us."
The international, joinery and sales departments were still busy and Mr Heard said timber components always had a "lumpy" work pattern which was mostly seasonal.
Mr Heard said there had been a good response from staff and union officials.
The new Government and lower interest rates are factors he expects will boost confidence in the new year.
Staff at Tachikawa Forest Products have also been told they will be working 32-hour weeks in the new year because there is not enough work.
Site manager Russell Black said this was a step that had been taken in the past when demand was down.
Rapid changes in global markets have led to a slowdown in demand for logs, affecting the forestry industry.
Logging company Williams and Wilshier is expecting to shut for an extra week this Christmas because of the slump.
- ROTORUA DAILY POST
