Washdyke mill jobs to go

Press, 20 December 1986, Page 3

Washdyke mill jobs to go

Timaru reporter

The Tasman Lumber Company’s sawmill at Washdyke, near Timaru, will shut down on March 31 next year and 21 jobs will be lost.

Tasman Lumber bought the sawmill only a year or so ago from Messrs T. M. and N. E. Wilson, but news of the closing. has been softened for some mill workers by the knowledge that the Wilsons are establishing another sawmill at Washdyke, only 200 m from their original business.

The Wilsons, who also run a sawmill at Mayfield, have not disclosed how many staff will be employed at the new mill.

The deputy managing director of the Tasman

Lumber Company, Mr B. 0. Lunn, of Auckland, announced the closing to staff on Wednesday. “Limited processing will continue on the site and at Fairlie, employing five people,” he said.

“The mill has been operating at a loss for some time. A combination of high cost resource, excessive capacity in the region, and limited market potential have led to sawmilling from Washdyke becoming nonviable.

“The longer term outlook appears even less favourable than the present.”

The shutdown will be made gradually during the first three months of the new year, allowing the 21 staff time to look for other jobs.