END OF AN ERA: Downer's Marton and Taihape depots will close now the company has lost its roading contract with the Rangitikei District Council. PHOTO/ FILE A-210515WCSMDOWNER1
END OF AN ERA: Downer's Marton and Taihape depots will close now the company has lost its roading contract with the Rangitikei District Council. PHOTO/ FILE A-210515WCSMDOWNER1
Downer has confirmed it will close its depots in Marton and Taihape but it is not yet known how many jobs will be lost.
The company employs 38 staff in the towns.
The closures follow this month's Rangitikei District Council decision to contract Manawatu-based company Higgins for roading work aheadof current contractors Downer. It was part of a joint agreement with Manawatu and Horowhenua District Councils.
"Absolutely, we are disappointed. But at the end of the day the council's made their decision," Downer manager Chris Edsall said. The company had held the contract for 17 years.
There was no date for the depot closures but it would be after the council contract expired on June 30.
Downer was talking to its Rangitikei employees about their future with the company.
"I'm going through that process at the moment. I can't really give you that info just yet," Mr Edsall said. He said staff were bitterly disappointed. "Some of these staff have been there 30 years," he said.
Staff had until today to give Downer feedback and Mr Edsall hoped to have a decision about their future with the company in the next week.
"We'll certainly be looking for other opportunities for out staff where possible. The reality is we won't be operating in Rangitikei in the future," he said. "We do do other work out of there, however it's not enough to sustain us."
Downer's closest depots are in Wanganui and Palmerston North.
Councillors voted on the roading contract two weeks ago behind closed doors, due to commercial sensitivity. Earlier in that meeting, over 20 Marton business operators pleaded with council to retain Downer. They said changing the contractor would cost local jobs and hurt local business.
Rangitikei Mayor Andy Watson said it would save ratepayers about $1.3 million over three years.
