Nestle announces changes to Wahgunyah factory

Nestle Australia

Following a review by the CPW Australia breakfast cereal business, Nestle has announced a number of changes to its Wahgunyah breakfast cereal factory.

The changes will see the breakfast cereal factory focus on its core strengths of oats and ready to eat cereal. This has been reinforced by a recent $12m investment in new equipment to boost production of ready to eat cereal.

As a result, the factory will cease producing Uncle Tobys O&G granola cereals, and will relocate production of Vita-Brits.

Regrettably, as a result up to 32 roles from the workforce of around 400 will be made redundant between the end of the year and March 2021. Nestle hopes to achieve this reduction through voluntary redundancies in the first instance, and all affected staff will be offered a generous redundancy package and access to outplacement services.

CPW Australia General Manager Spencer Bartlet said that Nestlé regrets that the proposal will mean job losses at Wahgunyah.

“This doesn’t reflect on the personal efforts of our staff. It has been based on a careful consideration of how to focus our activities and resources, recognising the need to focus on our strengths to keep our business profitable as the breakfast cereal market changes,” Mr Bartlet said.

The changes do not affect the Snacks part of the factory.

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