More than 100 jobs lost as Melbourne food factory moves

	Kerry Ingredients, which makes base products for milkshakes, biscuits, and donuts, is moving most of its production abroad. Picture: Michael Perini Source: Herald Sun

A Melbourne food manufacturing plant is closing down, with most of the 105 jobs lost heading to Malaysia, the National Union of Workers says.

Ireland-based Kerry Ingredients, which makes base products for milkshakes, biscuits, and donuts, is moving at least 75 per cent of its production to its Asian factories.

The Altona factory, in the city's west, will close for the last time on March 31 next year.

National Union of Workers secretary Tim Kennedy said the job losses were devastating.

“These are high-wage jobs, high skilled jobs and they were good quality middle class jobs in the western suburbs,” he said.

“The problem for these people is that the work for them in the future will be casual work here and there. There is just no confidence in the manufacturing industry in Victoria.”

Mr Kennedy said the viability of the industry was under threat when a key company like Kerry Ingredients shut its doors.

“This is not just a job emptying bins at the footy,” he said.

“Some of the equipment is going to New South Wales but the bulk of it, about three quarters is going back to Malaysia.”

A spokeswoman for Kerry Group said some of the affected employees could be offered jobs at the company's NSW and Queensland operations.

"Whilst manufacturing remains a very competitive environment in Australia and international markets, these decisions enable Kerry to provide sustainable business growth by leveraging the offering at our existing sites within the region," Kerry Ingredients and Flavours Asia-Pacific president Mark McCormack said in a statement.

"Whilst Kerry will continue to invest in and expand our presence in Australia, this is a consolidation of a number of acquisitions made over recent years."

National Union of Workers (NUW) spokeswoman Emma Kerin said the union was unsure how many Melbourne employees would be offered new roles.

"We're still trying to confirm where jobs are going but, no matter what, it's a bad result for the workers in Altona," Ms Kerin said.

"We'll now be focusing on redundancies and making sure that happens promptly and it happens well, and we'll also be looking at reskilling and retraining the workers."

Source: The Herald Sun, 9 August 2012