HuttNZ

Local News, Current Affairs and Events for the Hutt Valley Wellington New Zealand

Lower Hutt: More redundancies from Mountain Buggy plant

with one comment

Further evidence that the economy is not as strong as the media is portraying, in fact in the surrounding weeks there have been mixed signs as to where NZ economy is currently at. This announcement comes on top of Unilever another local Petone based manufacturing business making 50 redundancies last week, again unable to compete with offshore wage rates offered by China.

 “Mountain Buggy” a baby buggy manufacturer  will shift manufacturing to China with about 45 jobs to go at its Seaview Lower Hutt plant.

Mountain Buggy was picked up by its rival phil&teds after previous owners Tritec went into receivership in January  (debts of about $22 million).

Phil&teds buggies are designed in Wellington but has them made in China to be sold around the world, hence the move.

Phil&teds owner Campbell Gower told the Dominion Post  it was not possible to keep making Mountain Buggy products in New Zealand and production would shift to China at the beginning of next quarter.

“It was hard for the former owners to deal with the economic equation and it hasn’t been any easier for us,” he said.

The number of staff at the Lower Hutt factory had dropped from 100 in December to 61.

The shift will result in about 45 redundancies as some staff will be shifted to roles at phil&teds or Mountain Buggy’s seat-making business.

EPMU national secretary Andrew Little is understandable upset that these workers will not be receiving any redundancy compensation

Advertisements

Written by HuttNZ

August 17, 2009 at 10:53 pm

Posted in Uncategorized

Tagged with , , , ,

One Response

Subscribe to comments with RSS.

  1. […] as our earlier reports have mentioned, it is exceedingly difficult for local manufacturers to compete against their business opponents if […]


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: