Mayor concerned for Pukeuri workers

Waitaki Mayor Gary Kircher is concerned workers at the Alliance Group’s plant at Pukeuri may be...
Waitaki Mayor Gary Kircher is concerned workers at the Alliance Group’s plant at Pukeuri may be affected by the planned retrenchment from the Smithfield site in Timaru. PHOTO: STEPHEN JAQUIERY
Waitaki’s Mayor says he is worried at the impact on Waitaki employees in the meat processing sector following the Alliance Group’s planned retrenchment from its Smithfield site in Timaru.

A multi-agency meeting was held in Timaru last week to discuss a co-ordinated approach to support more than 607 Alliance Smithfield workers who may well end up losing their jobs.

It included the mayors of Waitaki, Waimate, and Timaru as well as government agencies to consider how to support over 600 Smithfield workers facing possible redundancy or redeployment to another site.

Mr Kircher said he expected some Waitaki-domiciled workers would be affected.

"There hasn’t been a breakdown yet of where the workers actually live," he said.

However, he expected some workers who lived in the district and neighbouring Waimate might be affected.

"There will be a number of people, if it goes ahead, if they are past 65 or whatever, they will just retire.

"They’re talking 607 people but there is no expectation that 607 people will be on the job market," Mr Kircher said.

However, Alliance said this week that there was no risk of Pukeuri staff being displaced by Smithfield staff being redeployed if the proposal to close their Timaru plant was confirmed.

A decision will be made following consultation later this month, after Alliance announced 10 days ago its plans to close the 139 year-old Smithfield complex by the end of the year.

Alliance chief executive Willie Wiese said it was due to a decline in sheep processing numbers as a result of land-use change, leaving surplus capacity across the Alliance plant network.

Mr Kircher said he was keeping a "close eye" on the evolving Alliance situation, given its importance to the North Otago community and economy, as well as South Canterbury.

The impact overall — but for Timaru in particular — was "one of those very sad situations".

"We will do what we can," he said.

However, while Alliance was in the consultation phase for Timaru, Mr Kircher believed the Pukeuri operation would also be impacted.

"‘There will be flow-on effects," he said.

The Alliance site at Pukeuri employs over 900 workers from across the district as well as nearby South Canterbury.

Alliance general manager safety and processing Wayne Shaw said that if the Smithfield closure was confirmed staff would be offered redeployment to other Alliance sites.

Mr Kircher said the ripple effect of the Alliance announcement could not be underplayed, including any impact on North Otago-based workers.

"If they do close, and there’s movement of staff down to Pukeuri, that may displace some of our locals, either those on work visas or for young people entering the workforce," Mr Kircher said.

In August Oamaru’s other meat plant announced that 75 jobs were going in a restructure to bring it in line with more realistic production goals.

At the time, Alliance offered its sympathy, encouraging those affected Oamaru Meats workers to consider applying for jobs at Pukeuri or Smithfield.