Seafood giant Sealord has proposed making its Nelson wetfish and by-products factories and fresh fish trawler seasonal rather than year-round - a change that would affect dozens of jobs.
This proposal would lead to the disestablishment of 59 roles if it went ahead, and followed the proposed closure of its coated-fish factory earlier this month.
Under the new proposal, the wetfish and by-products factories and fishing vessel Thomas Harrison would operate from May to September during the busy hoki season.
Sealord chief executive Doug Paulin said the proposal followed a review of the company's business model, which identified the need to reduce costs and complexity to remain viable.
"We would prioritise roles for our hard-working wetfish and coated factory staff during hoki season should these proposals go ahead, and they wish to come back."
Paulin said the company had been facing the possibility of a full shutdown of its fresh fish trawler and all land-based operations in Nelson.
The seasonal model, he said, would allow Sealord to retain 81 permanent jobs and 400 seasonal roles, preserving over 90% of the economic benefits to the region.
“This also includes our cold store and dry store, and office-based support roles,” Paulin said.
Rising operating costs, falling global commodity prices, reduced fish volumes outside of hoki season, and increasing regulatory compliance costs had all contributed to the pressure on the business, he said.
"The export commodity products produced in our wetfish factory in Nelson are loss-making in every month except during hoki season. This loss has been exacerbated by price drops and rising costs, while the volume of fish available outside of hoki season has fallen."
Consultation closed today on the separate proposal to close Sealord's coated-fish factory, with a decision expected on October 3. That could affect 79 permanent roles - comprising 57 factory roles and 22 management or office-based roles.
A decision on the seasonal operations proposal was expected in mid-October.
Sealord was one of New Zealand's largest seafood companies, specialising in deepwater fishing, seafood processing and aquaculture.
It is half-owned by 57 iwi through Moana New Zealand and half-owned by the Japanese company Nissui.
The company produces a wide range of seafood products.
It also operated five deep sea fishing trawlers with factories on board to process fish at sea, as well as owning Independent Fisheries, which has three factory fishing trawlers that also process fish at sea.
The Thomas Harrison catches deep sea fish, which is then processed at the wetfish factory in Nelson.
The Nelson region has been hit by several proposed closures resulting in job losses in recent times.
In August, Carter Holt Harvey told staff it would shut the Eves Valley Sawmill and consolidate operations to Kawerau, resulting in the loss of 142 jobs.
Griffin's Snacks told staff about a plan to close its Nelson factory that produces Proper Crisps, and move operations to Auckland from late 2027 and early 2028, affecting 47 staff.
SHARE ME