The country's biggest meat company, Silver Fern Farms, has today confirmed it will be going ahead with the closure of its sheepmeat plant in Ashburton - affecting 370 workers.
Photo: RNZ / Maja Burry
Workers at the Fairton plant were told at a meeting earlier this month there would be a two-week consultation period before the closure was finalised.
Silver Fern Farms chief executive Dean Hamilton said the decision was due to a significant decline in sheep and lamb numbers over the last 10 years.
Mr Hamilton said support was being offered to the 370 workers at Fairton.
"We will be paying redundancy to all affected staff. In addition, we have 230 roles available for them at our other sites, should they wish to take them up.
"We are opening a resource centre in Ashburton tomorrow to assist staff with the changes and to transition to new employment."
He said Silver Fern Farms would continue to operate its pelt house operation from the site, which services its other three sheepmeat plants in the South Island.
Plant closure a 'huge jolt' - union
Meatworkers Union Canterbury secretary Bill Watt said it would have been very unlikely for the company to change its mind after announcing its intentions a fortnight ago.
He said the closure would also hit the local community hard.
"For a small community like Ashburton it's a huge jolt for that township.
"There's an awful lot of money that gets brought into a community through wages from a plant like Fairton," Mr Watt said.