Dairy giant to lay off 170 employees at Lismore ice cream factory
Australian dairy giant Norco is set to lay off 170 employees at an ice cream factory in Lismore, despite being offered a $35 million government grant.
The Lismore factory, which suffered serious damage in the Northern Rivers floods in February this year, has announced that, while it appreciates the $34.7 million in funding they have been offered, it “falls well short” of what the company needs “to safeguard the factory’s future”.
Former prime minister Scott Morrison visiting the flooded Norco factory in South Lismore.Credit:Janie Barrett
A Norco spokesperson said that it was likely that 240 jobs would be permanently lost if they are unable to secure more funding.
“We estimate the total cost of the flood to Norco to be $141.8 million. This includes restoring our facilities to how they were pre-floods, the cost of clean-up and damage, inventory and workforce costs, as well as further flood mitigation works,” the spokesperson said.
“We continue in positive dialogue with the government and remain hopeful that we can secure a better outcome for our workforce, our farmers, and the broader Lismore community.
“Norco has been part of the Northern Rivers community for more than 127 years, and with increased
support from the governments in these rebuild efforts, we hope to be here for another 127 years.”
Lismore was devastated by floods earlier this year.Credit:Brook Mitchell
Under the Anchor Business Support Grants, the co-operative was offered more than half of the $60 million available for the flood-hit Northern Rivers, after it had been earlier given a $2.7 million support package from Emergency Management Minister Murray Watt in July this year.
The emergency package in July was given to Norco the day before 170 workers were set to be sacked, and came as a relief for the Lismore community.
State member for Lismore, Janelle Saffin, said that the job cuts were distressing for a community that is still recovering from the February floods.
“It’s not just a factory, it’s part of our identity,” Saffin said.
“This wasn’t a flood here, it was an inland tsunami, and I have been calling for a comprehensive response to it. We can’t keep going grant to grant.”
“We need a comprehensive response [to the floods], and we need a proper regional plan to rebuild. Yes, money has been available for events and different things, and that’s been wonderful, but we need serious hardcore discussions and support.”
Norco’s spokesperson said that the company was “disappointed that they [the government] has not supported any of the three project options we submitted as part of our Anchor Business Support Grant application,” but have not publicly outlined what the three options were.
The 170 Norco employees have been notified that they will be laid off on Friday, September 23.
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