Monday, October 7
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Decision due on Auckland pulp and paper mill closure


Workers heading into a meeting to learn the fate of Oji's Penrose mill.


Photo: Jessica Hopkins/RNZ

Workers at the Oji paper recycling mill in Auckland will find out Wednesday whether they will keep their jobs.

Oji Fibre Solutions said it was considering closing its Penrose mill, partly due to high power prices. Up to 75 workers would be affected.

Earlier this month, 230 workers at Winston Pulp International were told the sawmill and pulp mills near Ruapehu were both closing for good.

A meeting was due to start at 8am.

E Tu union spokesperson Joe Gallagher told Morning Report the mood at the mill head of the meeting was “pretty sombre”.

“I think people are resigned to the fact that this morning they’re going to be told there’s a closure, that’s yet to be confirmed.”

He said a combination of factors was behind the current situation, including power and gas prices.

But also a lack of past capital investment.

$50m in capital upgrades were needed if the mill were to remain open, Gallagher said.

“They ruled that out as a solution.

“I think the signal is quite clear that the announcement today will be a closure.”

The initial proposal was for closure on 18 December.

“We’ve got to support these workers and it’s a pretty tough time, leading up to Christmas, to lose your job,” Gallagher said.



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