Webstar New Zealand will consider an option to increase production capabilities in Auckland while at the same time reducing printing capacity at its Masterton plant.
The Company began consultation this week with its team members on a proposal to invest in a new press in Auckland and decommission three printing presses in its Masterton plant. If this proposal goes ahead, it could affect up to 44 jobs in the Masterton plant and create 32 jobs in Auckland.
Bernie Roberts, Chief executive at Webstar, says, “The intention of this shift and investment in our Auckland plant is to remain competitive in an already challenging printing market. If the proposal goes ahead, we will retain a profitable printing business in Masterton and will increase our production capacity and staff numbers in Auckland.”
The key drivers of the proposal include rising shipping and distribution costs, as well as the location of Webstar’s major customers, primarily located in Auckland and who increasingly requesting locally based printing. Other cost considerations include higher operational costs in Masterton and the extra cost of shipping paper to Masterton from Wellington.
Webstar says another significant factor, its commitment to the continuous improvement of its environmental impact, means printed products in Masterton need transporting greater distances to upper North Island customers and distribution centres than if produced in Auckland. The company says moving production to Auckland would reduce Webstar’s carbon footprint by approximately 236 tonnes of carbon dioxide equivalent (CO2e) per year.
The company will advise affected employees in March if the proposal goes ahead. They will have an opportunity to apply for one of three new roles created in Masterton or one of the new roles in Auckland. Employee assistance counselling and outplacement services will also be available.
If the proposal goes ahead, Webstar would install a late model 32-page commercial printing press into its Auckland facility with the intention of fully commissioning the press by the end of August. The transfer of work from Masterton to Auckland would transition over the next six months.
George Hollinsworth, negotiation specialist at E tu, says, “It is always a big issue for a small regional town. We will work through the consultation process and try to help the affected staff as much as we can.”
Roberts adds that, if implemented, these changes would significantly improve the efficiency and effectiveness of Webstar and enable it to meet its customers’ current and future printing needs.
