Car firm interested in railway workshops

Press, 11 September 1986, Page 14

Car firm interested in railway workshops

PA Wanganui Wanganui’s East Town railway workshops will reach the end of the line on October 17, but a new industry may spring up in its place, says the Railways Corporation’s general manager, Mr Gordon Purdy. Mr Purdy and the Railways executive chairman, Mr Ross Sayers, have announced the long-awaited closing date to the remaining workshops staff' in Wanganui. After a closed meeting with all staff they announced details of the closing and of a likely alternative industry for Wanganui at a press conference. The corporation was continuing talks with a

motor industry firm that was interested in taking over the East Town site. “We are optimistic the firm will take over the site and that within 18 months it will employ 100 workers, and probably in three years, about 200 workers,” Mr Purdy said. The corporation hoped the negotiations would be finished by October 17. But if the deal fell through other partf.es were interested in the site. "The firm we are negotiating with offers the most employment opportunities, as against the most financial benefit for Railways.” He said he was unable to name any of the interested parties.

Engineering and stores activities at East Town would end on October 17, but 16 staff would continue to work at the workshop’s tarpaulin shop. The 31 East Town apprentices would be found alternative work, either in the Railways or other Government agencies. Already 140 staff had accepted the corporation’s severance and early retirement deals and another 64 staff had said they would take the offer, Mr Purdy said. That left about 20 staff yet to decide. Twenty-one employees would be transferred to other Railways jobs. About 15 of those were likely to move across to the Aramoho plant zone, he said.