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The Victoria Carpets factory in Castlemaine, Victoria will close by the end of the month and twenty one employees will lose their jobs.
The Bendigo Advertiser reports that workers were told of the plan at a meeting on Friday.
Victoria Carpets Managing director Phil Smith blamed the competitive market for the decision and said that the demand for woollen carpets was falling. In addition, he pointed out that most manufacturers have moved production overseas.
Workers will have a meeting with representatives from the company’s head offices in Dandenong today and another with Textile, Clothing and Footwear Union of Australia representatives tomorrow.
Smith assured workers that they would receive all entitlements.
Union national and state secretary Michele O’Neil said that the decision to close is a terrible one and added that the redundant workers would find it hard to get new jobs.
Referring to thirty-two jobs which were cut from the Castlemaine business in the previous round of redundancies, he said, “This follows the company already halving the workforce in April last year.”
O’Neil said the union had a redundancy and training support office to help workers to find new jobs.