About 40 meat workers are facing a longer than normal seasonal layoff as Oamaru Meats struggles to maintain beef numbers coming into the plant.
Oamaru Meats director Richard Thorp confirmed today that the workers were given notice about two weeks ago that they could be out of work for up to 14 weeks as the company experiences "ebbs and flows" in meat supply.
NZ Binxi (Oamaru) Foods, whose shares are owned by Heilongjiang Binxi Cattle Industry Co Ltd, had significantly increased the amount of beef processed at the ''specialist sheep and lamb'' North Otago plant.
''We're diverting to new markets for us, one of those new markets for us is China and you just can't turn on a new market like a switch, it takes time and building those customers,'' Mr Thorp said.
''Not only have you got to establish yourself in the markets, you've got to establish yourself in the procurement markets, which is purchasing the animals. And that can be a bit `ebb and flow'. It can come at you and you can receive it and then it can just sort of quieten down a bit and the long term established guys tend to have a bit of reach and the guys that are trying to develop their business just don't have that reach and there's a little bit of up and down activity.''
Mr Thorp said some of the 40 affected staff had been given work in the lamb business at the plant.
He said the 14 weeks indicated as a term of the layoff was a maximum. And that the company was trying to give its staff a good indication of the issues faced.
''We are intending to start up again, that date will be dictated by the [beef] volume.''
Otago Southland Meat Workers Union president Daryl Carran said the possible length of the layoff was ''quite unusual''.
''Given that they have had three previous layoffs within the 12 month period, that is also unusual for that plant,'' he said.
