Manufacturing News

Import pressure could see Devro cut jobs

Collagen casings manufacturer Devro has announced that it will be
reducing its workforce at Bathurst due to global forces.

The Scotland-based company, which employs over 2,200 worldwide and
operates factories in the UK, US, the Czech Republic and Australia, has said
that it will likely axe three casual jobs and offer six voluntary redundancies
at its Vale Road site. 

The Western Advocate reports that there are also 220 employed at Devro’s
Kelso factory, and is one of Bathurst’s major manufacturing companies.

“We are a profitable business but
have to react now to reduce costs to remain competitive,” Beverley Munro said,
according to the Advocate.

“As a global manufacturer we are
under the same pressures as other local manufacturers such as Mars and
Electrolux,” she added, referring to the Bathurst whitegoods factory that will close its doors in 2015.

Devro is reviewing its local
operations in light of increased foreign competition.

“Up until the last few years, there
were no direct competitors in the Australian and New Zealand market,” she said.

“There is now increasing pressure
from the cheaper foreign imports. The Bathurst plants supply the Australasian
market with 50 per cent of that product being exported.”


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