Fonterra says decision to shut its Cororooke factory in south-west Victoria will not have an impact on its transport operations
Ruza Zivkusic-Aftasi | October 2, 2012
Fonterra’s decision to shut its Cororooke factory in south-west Victoria will not have an impact on its transport operations, the company says.
Fonterra has decided to shut the factory’s doors rather than spend the money required to modernise it, affecting up to 130 jobs.
Productions at the site will close in a phased process over the next year. Fonterra has nine other manufacturing sites in the country, which handle around 1.7 billion litres of milk each year.
“The Cororooke site is a five-day per week operation, so we currently process all weekend milk volumes through Cobden and Dennington – the transport systems for this are well established and there are no changes to these,” Foneterra spokeswoman Maree Wilson says.
The National Union of Workers (NWU) says it has “grave” concerns for the town’s future, saying redeployment is not a “realistic” option for most workers if they have to travel 150km to get to work.
“This decision comes after Murray Goulburn made 300 jobs redundant earlier this year,” NWU Victorian Secretary Tim Kennedy says.
He will meet with the company and its delegates next week to discuss the closure.
“At this stage the union still needs clarity where the work will be going and when the site is going to shut,” he says.
Fonterra Managing Director Simon Bromell says the company’s first preference is to upgrade and maintain its sites, but the challenges of modernising the Cororooke factory, which is more than 100 years old, is not worth it.
He says the company is working closely with employees and their families to support them through the closure process but some will be made redundant.
“This has been a tough decision and not one we have reached lightly,” Bromell says.
“We are providing comprehensive outplacement and support services to all of our employees and we are working closely with the Victorian Government to ensure everyone at Cororooke has the opportunity to retrain or build on their current skills through government training programs.”
Fonterra has invested more than $100 million in its manufacturing sites over the past three years in Victoria.
