Sixty tanker operator roles at Murray Goulburn’s (MG) Koroit, Leongatha, Maffra and Rochester plants in Victoria will be made redundant as the besieged dairy processor battles to cope with a big decline in its milk intake.
An MG spokesperson said the company would offer voluntary redundancies in the first instance and seek to make changes to rosters to absorb the cuts to its workforce.
“We are committed to ensuring that we provide any affected employees with appropriate levels of support and the recognition that they deserve during this period of transition,” the spokesperson said.
“MG will support employees by providing access to career transition and redeployment services.
“These actions are regrettable but necessary to ensure a strong MG that can deliver sustainable and competitive returns for our suppliers.
“This is a continuation of efforts to address MG’s cost base, improve efficiencies and ultimately increase earnings and the farmgate milk price.”
The Koroit plant appears to be the hardest hit, with up to 31 of the 60 positions to go expected to come from the plant.
A MG spokesman said the company was in talks with the Transport Workers Union over the redundancies.
Moyne Shire Council mayor Jim Doukas said the redundancies were not a surprise because of the big drop in milk supply that MG had suffered this year.
MG’s milk supply dropped from 2.7 billion litres last year to 2 billion litres this year as farmers moved their milk supply to other processors.
Cr Doukas said he had expected the Koroit plant to fare better in redundancies because it was likely to be processing milk from MG plants in northern Victoria that the company has scheduled for closure.