Major seafood company Sealord has suggested converting its Nelson wetfish and by-products factories, along with its fresh fish trawler, to operate seasonally instead of throughout the entire year.
This proposal would result in the elimination of 59 positions.
According to the new proposal, the wetfish and by-products factories, along with the fishing vessel Thomas Harrison, would operate only from May to September, coinciding with the busy hoki season.
Sealord chief executive Doug Paulin said the proposal came after a review of the company’s business model, which highlighted the necessity to cut costs and simplify operations to stay 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.”
He said the seasonal model would enable Sealord to maintain 81 permanent positions and 400 seasonal jobs, safeguarding more than 90% of the economic benefits for the region.
“This also includes our cold store and dry store and office-based support roles,” Paulin said.
He explained that rising operating costs, declining global commodity prices, lower fish volumes outside the hoki season, and growing regulatory compliance expenses had all added pressure on the business.
“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.”
Earlier this month, Sealord announced its plans to close its coated fish factory in Nelson.
Sealord has already concluded the consultation on this matter and anticipates a decision on October 3. That could impact 79 permanent positions, including 57 factory roles and 22 managerial or office-based roles.