Fears that axe hovers over Fairton meat plant
The fate of more than 300 workers’ jobs at the Silver Fern Farms (SFF) Fairton plant in Ashburton may be decided tomorrow after management notified workers of a meeting.
Speculation is swirling the sheepmeat processing plant might close, after a decision last year to shift bobby calf processing to Pareora south of Timaru and a fall off in sheep supply.
‘‘It looks ominous but we don’t know anything. The philosophy will be to tell the people affected first,’’ said Meatworkers Union Canterbury secretary Bill Watt.
A SFF spokesman said ‘‘it would be inappropriate and unfair on our people to comment any further. We’ll be happy to have a conversation with you [the media] after we’ve met with our people’’.
Federated Farmers South Canterbury meat and fibre spokesman Miles Anderson said he had not heard anything but would not be surprised if it closed.
‘‘The number of sheep in Mid and North Canterbury has dropped dramatically and there have been questions over whether SFF has the correct number of plants for the stock they process,’’ he said. ’’They could either shut the plant completely, or convert it to process just beef and deer. For the poor people who work there, it will be a nervous time.’’ Last year there were two chains operating but this had been reduced to one. Labour primary industries spokesman Damien O’connor said a closure would not surprise him. ’’It seems inevitable that some processing will shift to China, and some farmers may be moving to Alliance Group because of their unease.’’ He said SFF might have had a windfall gain in one market, but overcapacity could undermine its long term viability. In December Chinese company Shanghai Maling invested $267 million in cash in return for a 50 per cent stake in SFF’S business.
NZ First leader Winston Peters said the plant ‘‘looked likely to be axed’’. ‘‘Optimists might say this is about expansion but realists will see this for what it is; either major retrenchment or outright closure.’’