THE timber manufacturing workers’ union has described the ownership transfer of Mount Gambier’s two largest wood processing sites as a positive step for the regional industry.
Carter Holt Harvey’s Jubilee Highway mill and Pinepanels White Avenue/Lakeside sites have now both changed owners, ushering in a new era for the region’s forestry sector.
In the largest shake-up in the processing sector for many years, OneFortyOne Plantations (OFO) has now officially taken control of the Jubilee Highway sawmill.
New South Wales-based timber processor Borg Manufacturing also secured control of the Pinepanels sites late last month.
These two major transactions has seen around 460 employees cross over to the expanding companies.
Union Green Triangle secretary Brad Coates said the transition had been smooth and it appeared to be “business as usual” at the sites.
“There is a positive mood among the workers given there had been some concern over job security when these sites were owned by Carter Holt Harvey (CHH),” Mr Coates said.
He revealed employees were feeling more positive about the future than they were six months ago.
“Carter Holt Harvey had wanted to leave the industry in the past couple of years and have cut the sites to the bone,” Mr Coates said.
He hoped the change would deliver long-term benefits for workers and the industry, including fresh investment into the prominent manufacturing facilities.
Mr Coates said the ageing White Avenue Pinepanels site particularly needed new investment.
The regional union leader said there had been only minor changes affecting workers since the change in ownership.
But he said it was likely more changes would be rolled out into the future.
Borg Manufacturing yesterday declined to speak to The Border Watch about its newest transaction.
It is understood the company’s chief executive Jim Snelson wishes to speak with staff at Mount Gambier next week before addressing media.
OFO – which took control of the Jubilee Highway mill on January 15 – described the changes as a new era for the regional timber processing sector.
Chief executive officer Linda Sewell – who visited the OFO Woods Products site yesterday – said the company hit the ground running and had already employed two additional apprentices.
“Last month saw the reunification of the region’s pine plantations and a significant sawmill under OFO’s custodianship,” Ms Sewell said.
“I am extremely pleased with how successful this process has been and impressed with the skill and professionalism of the Wood Products team.
“Going forward, we look forward to working with our employees, customers and other stakeholders as OFO continues to play an integral part in the vibrant industry and economy of the region.”
This combination will see OFO grow its workforce to more than 360 employees to become one of the region’s largest employers.
Jubilee site sawmill general manager Paul Hartung yesterday welcomed the new ownership.
“The team here at the sawmill is excited to be part of the OFO team and bring together our extensive timber processing skill with OFO’s forest growing experience,” Mr Hartung said.
“Being part of OFO Wood Products presents a fantastic opportunity for our employees and we are continuing to deliver high quality products to our customers.”
Meanwhile, Mr Coates said the long-term future of CHH’s engineered products site at Nangwarry remained uncertain.
He revealed 30 people were employed at the facility and the employees had now been moved into a new division of the company.
Mr Coates said the union had questioned the company about the site, which revealed it had no plans to sell or close the facility.
The New Zealand-based company also indicated it was also not speaking with prospective buyers.
