Yarrows redundancies pave way for potential resale

9 June, 2011

Embargoed until 2pm today

News Release

Yarrows redundancies pave way for potential resale

All workers at Yarrows Bakery have now been made technically redundant, and approximately two-thirds of the workers have been offered new jobs by the receivers BDO. The decision to retain a pared-back workforce at the South Taranaki-based factory suggests that prospects are still good for sale of the business as a going concern.

EPMU lead organiser Wayne Ruscoe says that while he’s naturally disappointed that between 40 and 45 workers will lose their jobs, he’s pleased that there are still 100 workers staying on at the factory. ‘We hope this decision to strip the business back to basics will make the company a more saleable asset,’ says Ruscoe.

Cuts have been made across the board, including management. The Managing Director Paul Yarrow’s position will be clarified at today’s meeting.

Yarrows Bakery is the main employer in Manaia. The factory produces up to 40,000 loaves of bread a week and sells frozen dough to Subway outlets in New Zealand and overseas.

ENDS

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