Confectioner drops shift, keeps staff

An Oamaru confectionery maker has closed its night shift, with the eight staff being transferred to day shifts.

Innovex Group Ltd, which makes the Rainbow brand of confectionery in the former Regina plant in north Oamaru, announced the decision yesterday because of a reduction in forward orders brought about by the global economic crisis.

Innovex manager John Walker said the company might also have to consider some redundancies in the future, although that could be achieved mainly through natural attrition.

"Whether or not when we complete the entire process there will be actual redundancies, only time will tell. If there is, it may only be two or three," he said.

Some casual workers who feared their hours may be reduced had already gained employment elsewhere.

The company met staff about four weeks ago to discuss in general terms the global economic crisis and the possibility of it hitting home in Oamaru.

About two weeks ago, they were told about the decision to cease the night shift.

Innovex retains its 73 employees at the Oamaru plant, now working two day shifts starting at 7.30am and 3.45pm.

Mr Walker said the night shift worked on starch moulding production with a packing team.

The reduction in the night shift had been done in previous years.

It was temporarily reintroduced in June last year to meet demand, but had lasted 17 months.

Last year was "one out of the box".

"The economy has now slowed a bit and instead of waiting for things to get really retrenched we are trying to be nimble.

We felt it was better to pull the third shift now," he said.

Innovex has completed its Christmas production and has started on Easter orders, which were expected to be completed by Christmas.

Earlier this month, one of Oamaru's largest employers, Summit Wool Spinners Ltd, announced it would reduce its shifts from 12 hours to 10 because of a dramatic drop in orders.

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