More staff go at Lane Walker Rudkin

A further 42 staff at Lane Walker Rudkin's (LWR) Christchurch textile operations were made redundant yesterday.

The lay-offs bring to 228 the total number of staff to have lost their jobs with the company since it went into receivership in mid-May.

The receivers, Stephen Tubbs and Brian Mayo-Smith, said laid off workers would be paid their full preferential entitlements coinciding with their exit.

The National Distribution Union (NDU) representing the workers said those affected were told the news at meetings called throughout the afternoon.

"All redundant workers were told that their notice took effect immediately," said NDU national secretary Robert Reid.

He said all were advised they would receive their preferential holiday and redundancy pay capped at $16,420.

However, the union was concerned that receivers hadn't made the same statements regarding the payout to redundant workers from LWR's Wairarapa subsidiary, Bouzaid and Ballaben, which has also gone into liquidation.

"LWR and Bouzaid and Ballaben were run as one company and there should be no discrimination against LWR's Wairarapa workers," Mr Reid said.

The union would take the issue up with the receivers for Bouzaid and Ballaben.

He said the union also wanted accountability for the collapse from former LWR owners and their lender, Westpac Bank.

However, while jobs were being lost, the receivers said the remaining divisions of LWR Manufacturing and LWR Hosiery and Underwear continued to operate.

The Southern Alps Socks operation in Timaru had been sold to Sock Works, and 35 staff were to be re-employed by the new owners.

The liquidators of Bouzaid and Ballaben were expected to make a separate media release later this week on the circumstances relating to the company.

Add a Comment