Breakfast food lovers may have choked their cereal yesterday on hearing the news Sanitarium was planning to cut production of a range of products, leading to the loss of 49 jobs.
Here's what you need to know.
What products are affected?
Sanitarium plans on ending production of its muesli, granola, clusters and puff cereals by June next year.
It means no more: Sanitarium Muesli, Granola, Light ‘n’ Tasty, Honey Puffs, Weeties, Weet-Bix Clusters, Cluster Crisp and Puffed Wheat.
Why these products?
Sanitarium New Zealand general manager Michael Barton said sales of the products to be axed were steadily declining and now made up just 10% of sales.
The production lines used for the cereals started operating in the 1940s and requires a $28 million building and plant upgrade.
"The breakfast market is changing, and we have seen a global move away from some cereal formats. We need to align our production with evolving consumer appetites and demand trends," Barton said.
What products are remaining?
Skippy Cornflakes, Ricies, Weet-Bix and Marmite, will still be made at Sanitarium’s Auckland manufacturing facility as the company focuses on its Weet-Bix, Weet-Bix Bites and UP&GO brands.
What about the workers?
Should the plan proceed, 49 jobs will go across manufacturing, logistics and head office.
"If the proposal goes ahead, staff impacted by the change would receive full entitlements, financial and personal counselling support, along with career support and advice to transition to other employment, if they are unable to transfer to other roles within the company," Barton said.
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