JNL confirms changes to Gisborne mill

Friday 16 Feb 2018

Forestry and wood processing company, Juken New Zealand on Monday confirmed it is going ahead with changes to the products made at its East Coast Mill in Gisborne to return the plant to profitability and secure its long-term future.

The company told staff on January 23 that is was considering stopping production of Plywood and Laminated Veneer Lumber (LVL) products and reducing the manufacture of Structural Laminated Veneer Lumber (SLVL) at its East Coast Mill because those parts of the business had been operating at significant losses for a number of years.

The Mill will continue to make high-value solid wood products used for high-end residential and commercial interior cabinetry, furniture, solid doors and feature walls and, overtime, this side of the business will expand.

Juken General Manager, Dave Hilliard said that the final number of roles to go at the Mill as a result of the changes wouldn’t be known for another two weeks. “Now that we have made the decision to go ahead with these changes, we will be working through a process to confirm exactly which roles and how many will go as result,” said Hilliard.

“This is a tough time for our people and their families. We’re a major wood-processing and forestry employer in Gisborne so a decision like this that cuts local jobs is difficult. But for local companies like us, it’s even more critical for the future of our communities that we consolidate into a sustainable business. We can only do this by making high-value products where we have a competitive advantage, so that we can keep growing job opportunities here into the future.”

“There are around 100 roles impacted by the changes, but we anticipate that the final number of redundancies will be less than this, as a number of staff have applied to take voluntary severance and we also have some roles in our sawmilling side of the business that we’ll look to redeploy people into.” More >>.




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