Fletcher Building to lay off 1000 staff in New Zealand
Fletcher Building is looking at slashing about 1000 jobs in New Zealand as it moves to reduce staffing by 10 per cent.
The company said the COVID-19 crisis was likely to have a significant impact on its business both in New Zealand and Australia.
Chief executive Ross Taylor said the news would be hard to hear for staff and it was an unsettling time for all.
However, he said it was imperative that the company was positioned for the expected market downturn, which meant tough calls had to be made.
“Like any business facing much lower revenue ahead, we need to reduce our spending to prepare for these tough times. “Our first goal has been to implement cost-saving measures that would allow us to retain as many of our people as possible.
“These include looking hard at our operational footprint, exiting some offices to make better use of the space we have in places like the Group’s Penrose headquarters, making improvements to the efficiency of our supply chains so that we need fewer warehouses and depots, and ceasing some unprofitable product lines.”
He also said spending on marketing and travel, as well as bonuses would be reduced, and 30 per cent salary cuts for Board and chief executive pay would remain until the end of September.