Arbex discusses transformation of factory in Australia — ABC News Australia

In Millicent, South Australia, Arbex is holding consultations on a proposed transformation program for the local paper products factory. Workers and the community fear possible job cuts at the plant, which produces toilet paper and tissues for the Australian market.

As ABC News Australia reports, the Forestry, Furnishing and Textiles Union confirmed that it is discussing the reported changes and their implications for staff with management. At the same time, the union declined to predict the possible number of layoffs.

A major regional employer

The Millicent factory has operated since 1960. In the 1980s, it employed about 1,000 people; its current workforce is approximately 400 employees. The facility was previously owned by Kimberly-Clark Australia, and this year came under the control of Arbex, a joint venture between Brazilian pulp producer Suzano and Kimberly-Clark.

Wattle Range Mayor Des Noll said the facility is of major importance to the economy of the community of about 4,700 people and also supports local contractors. According to him, the factory had been operating as usual following the change of ownership. He expressed hope of discussing possible changes with the company’s management.

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Calls to disclose the scale of changes

An Arbex spokesperson said that the Millicent factory remains a critically important part of the company’s manufacturing network in Australia. The company declined to comment on the possible impact of the program on employment, citing ongoing consultations.

Federal Member for Barker Tony Pasin said he had received vague and non-specific information about staff reductions. According to him, local reports and rumours indicate that up to 100 jobs — about a quarter of the workforce — could be at risk. The company did not confirm this figure.

State Member for MacKillop Jason Virgo called on federal and state authorities to provide employment support and transition programs for workers who may be affected by the changes. He also called for reports of dumped imported hygiene paper products to be investigated.