More job losses for F&P

Fifty more jobs from Fisher and Paykel Appliances product and development division around the world are likely to go, with more than 25 losses expected from the New Zealand operation in Mosgiel and East Tamaki.

Appliances closed its Mosgiel plant last year with the loss of 430 jobs, following a decision to manufacture offshore in low-wage economies.

The loss was part of more than 1000 jobs lost in New Zealand, Australia and the United States at the time.

Appliances' vice-president of investor relations, Paul Brockett, was contacted yesterday and confirmed the job losses, saying that during the next six to eight months in New Zealand, Australia and the US, a total of 50 engineering design-related jobs would go.

He said the engineering work was not being outsourced.

Appliances would rely on retirements and natural attrition to cut numbers, but there would be "some more immediate redundancies", with more than half of the overall losses expected from New Zealand.

Appliances went to offshore manufacturing in the face of a high New Zealand dollar, increasing Asian competition and record metal prices.

Mr Brockett said yesterday the continuing negative climate around the world had prompted the job losses.

The losses would not affect Appliances' commitment to maintaining its design "centres of excellence" in Dunedin and Tamaki.

Appliances earlier this month signed a 10-year lease with the Dunedin City Council to relocate about 150 staff to the Wall Street development in central Dunedin, which includes about 100 research and development staff involved in product development and design, with the balance operating a new international call centre.

Staff were being consulted on the job losses this week.

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