275 jobs cut in Christchurch
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The Bridgestone tyre factory in Papanui, Christchurch, is closing with the loss of 275 jobs.
Bridgestone Australia has facilities in both Christchurch and Adelaide, South Australia, with both factories to be closed. . The factory opened in 1947 and produced the first tyre in New Zealand.
The Papanui plant is one of the biggest employers in the Christchurch area.
The company, in a statement, said that, despite continued efforts to improve cost competitiveness at both factories, international competitionhad made tyre manufacturing increasingly difficult, to the point whereoperationswere no longer viable. The Adelaide facility has been operating since 1965.
“The decision has been explained to all employees and unions at both plants this afternoon,” the company said.
“Regrettably, the closures will affect around 275 employees in Christchurch and 600 in Adelaide .
The closures would take effect at the New Zealand manufacturing plant by the end of the year,and at the Australian facility no later than April 30, 2010… “Affected employees will receive their full entitlements.,” it said.”
Bridgestone’s distribution, customer service and retail networks, which employed more than 1500 people, would continue unaffected.”
Bridgestone’s distribution, customer service and retail networks, which employed more than 1500 people, would continue unaffected. can no longer commercially justify the continued operation of these facilities. However, the unfortunate reality is that Bridgestone Australia Ltd.
Christchurch Central Labour MP Brendon Burns said he was “gutted” for the workers.”
Bridgestone will work with local government in Adelaide and Christchurch to gift some land currently owned by the company to recognise the contributions of the communities. Our hearts have to go out to the 275 employees who, as of Christmas, have been told they will not have a job. “It’s a huge source of employment and revenue for the city.
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He said the factory had been restructured in recent years and had invested in new technology but had not been able to survive the recession and trend to manufacturing offshore