Heinz Wattie’s has confirmed it will close its Christchurch, Dunedin and Auckland manufacturing sites, as well as frozen packing lines in Hastings, after consultation with its staff.

Heinz Wattie’s New Zealand managing director Andrew Donegan said the decision was necessary to strengthen the business, so it can continue to manufacture and sell products.

“We appreciated the open and thoughtful dialogue during the consultation process. After careful consideration and analysis of proposed suggestions, we have reached the conclusion that closing these sites and exiting these categories is the only way forward for the long-term viability of the business,” Donegan said.

“While change is needed, this is an incredibly difficult time for our employees and business.”

The business conducted a formal consultation process, in which the company sought feedback from its people and representatives on the proposed changes, including the category exits associated with these sites.

The announcement means the loss of about 300 roles across the impacted sites, including some commercial roles.

Donegan said the majority of those affected are long-term experienced and skilled employees, describing them as “sought-after candidates” for many employers.

He said the company’s focus would be on supporting those affected with redundancy packages, employee counselling, career transition services and redeployment where possible.

Almost 50 people from the frozen packing lines in Hastings will be redeployed, with some of those being retrained and kept within the business.

Alongside the people impact, Wattie’s will exit multiple categories including frozen vegetables, Gregg’s coffee and dips and pâté.

The site closures are expected to be phased over the course of the year, with timing of the closures likely to be announced at the end of April.

Union responds

E tū delegate Kathy Perrin, who has worked at Wattie’s for over 45 years, said the announcement hit hard.

“It is disappointing. We had a thread of hope. Our members have mortgages, high rents, and live pay cheque to pay cheque.

“There will be a lot that will be heartbroken. We have over 65s renting, families with babies, and members with health issues. It is devastating,” Perrin said.

Perrin said workers have taken some comfort from the company’s decision to offer seasonal workers redundancy payments above its contractual obligations.

E tū director Finn O’Dwyer-Cunliffe said the closures are part of a wider pattern, and more are likely.

“Multinational companies are making a choice to walk away from New Zealand workers, and a Government with no industrial strategy is letting them do it,” O’Dwyer-Cunliffe said.

“E tū has fought hard through this process to protect members’ entitlements, including redundancy compensation.

“These workers gave decades to this company. We are hopeful that we can continue to work with Heinz Wattie’s to make sure they’re not left behind.”

Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.