Hundreds of shocked workers walked away from Fisher & Paykel Appliances at Mosgiel yesterday to contemplate their futures.
They were coming to terms with the surprise 10.30am announcement that 430 jobs would be phased out during the next 13 months.
Some were bitter that they first heard the
news in radio bulletins.
While many did not expect long-term futures at the factory, they did not expect to be made redundant quite so soon and in such large numbers.
Cooktop worker Chris Chambers said Fisher & Paykel was always considered a family company but "certainly wasn't now".
"It's appalling. I really didn't think it would happen. Every one is pretty gutted. What is it going to do to the region, the economy?"
A cooling division staff member of 17 years, Dave Such, of Mosgiel, said the company was "obviously going for the cheap labour in Mexico and Thailand".
He believed most staff, and the Engineering, Printing and Manufacturing Union, were unaware of the extent of changes being considered, having been told a month ago that more product was required.
"We were expecting some sort of downturn and going to something smaller [in terms of production]. There's some people crying in there and a couple are really losing it."
Enamel worker Ross Connelly said everybody knew it was coming. "How can you expect them to pay us $20 when they can pay people in Mexico $4?"
For him and his wife, the news might mean moving on. "We'll just pack up and go to Aussie."
Appliances chief executive John Bongard said yesterday that, although the decision was based on the high exchange rate and high interest rates, with freight and labour costs of most concern, the problem at Mosgiel was "further exasperated" by growing demand for DishDrawer from its North American markets.
Mr Such said staff morale between now and the closure of the production plant next month would be low.
Staff would not look forward to working harder to maintain stock inventories and then disassemble manufacturing plant equipment for freighting to new factories overseas.
"This is really bad news for Mosgiel, in every way you can think."
Staff member Melissa Hannagan said they did not expect things to happen quite so soon and quite as broadly.
"It's pretty crappy. We're shocked."
- OTAGO DAILY TIMES
