10 metal workers made redundant

Alan Hollamby
Alan Hollamby
Ten workers have been made redundant at Gillies Metaltech in Oamaru.

The redundancies were due to a "significant" drop in sales orders and the flow-on effect to the manufacturing operations, general manager Alan Hollamby said yesterday.

There had been a process of full consultation with unions and all employees, with a round of voluntary redundancy followed by a "last-on first-off" selection process, Mr Hollamby said.

The redundancies were effective from yesterday, leaving 37 employees at the Tyne St factory.

He would not comment further.

Previously Gillies Foundry and Engineering, the company was sold by the Gillies family to the Hynds Group in 2006.

It manufacturers cast-metal water-main fittings, valves, hydrants and special-purpose pumps.

The redundancies followed an announcement earlier this week that Summit Wool Spinners was among the first three employers to sign up for financial assistance under the Job Support Scheme, saving 57 jobs at its Oamaru factory.

About 50 jobs have been lost through restructuring at Summit, following an unprecedented fall in orders.

Waitaki Mayor Alex Familton said Gillies Metaltech management had been proactive in attempting to make every possible move to keep the business viable.

"The company is a mainstay in Oamaru and we empathise with the difficulties they are having," the mayor said.

The council was maintaining contact with many companies in the district and facilitating any moves that would be helpful, where it could, he said.

 

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