Fire leads to loss of 100 jobs

Press, 15 April 1981, Page 12

Fire leads to loss of 100 jobs

PA Invercargill More than 100 employees of . Matheson International, Ltd, of Kennington, near Invercargill, learned this week that they will be laid off because of a fire that destroyed the company’s carpet yarn and dye house earlier this month. The company is a subsidiary of U.E.B. Industries, Ltd, and the news was broken by U.E.B. executives at a meeting of all Matheson employees. Those present included the general manager of U.E.B.’s carpet division, Mr R. A. Barfoote, and the industrial relations manager, Mr R. Edwards. They were accompanied by Matheson’s chairman of directors, Mr J. A. N.. Matheson, and the general manager, Mr A. W. McSkimming. The staff was told a little about the future, Mr Barfoote said. But U.E.B. did not have sufficient information to indicate if and when redevelopment would take place. If it did occur, it would take at least a year to 18 months. “In the interim period there is just no work for a large number of people in excess of 100,” he said. Notice of redundancy has been given to the yarn and dye workers, and redundancy agreements will be worked out between Mr Edwards and the secretary of the Otago-Southland Carpet and Woollen Mills’ Union, Mr R. Mogenson.

He said union members would meet to discuss the redundancy question, and until then he could not release any details. Mr Mogenson, who said the fire was a “tragedy,” hoped all details would be decided in a week. Mr Barfoote said the company was most concerned about the staff’s future, and would set up a job counselling placement centre, headed by an official from U.E.B.'s personnel department. “Our concern is to find work for our staff,” Mr Barfoote said. ■ "We have had a very loyal and committed team here. Over recent months the level of output has risen substantially. “This made the fire even more of a disaster and the company would try to minimise problems for the staff,” he said. “We are looking for positions for them elsewhere in the U.E.B. group.” Some jobs were available in the carpet division and also in some of the company’s spinning mills. For anyone who accepted these jobs, it would mean shifting from Invercargill. The lay-offs were brought on by a disaster' which neither the staff nor the company wanted, Mr Barfoote said. It was not a matter of profit or loss. The factory had burnt down and the employment destroyed* Mr Matheson said he thought the staff accepted

the situation. They realised that they had to get out and look for other jobs in other fields.

Since the fire they had been able to give the situation some thought and knew it would take more than a few months to get the plant working again. The long-term future of Matheson’s is still undecided. One of the main problems is to get the replacement machinery. When the plant was originally set up it took two years from planning to working.