Nestlé to shut Tongala factory with 106 job losses

Nestlé Australia announced that it will shut its Tongala factory in Victoria, which produces tinned milk products, resulting in 106 job losses.

The FMCG giant blamed a diminishing market and cheaper imports for the closure.

“People just don’t buy tinned milk like they used to, and cheaper imports have eroded our business further,” Nestlé general manager Andrew McIver said in a statement on Wednesday.

“At the same time, the equipment in this factory is old, and the investment we need to make sure it can operate reliably in the future means that the factory is no longer viable.”

The gradual closure will be staged over the next 18 months and all employees will be made redundant.

McIver thanked employees for their contribution to the company and said the closure doesn’t reflect on their hard work.

Comments

1 comment

  1. Tim posted on August 29, 2019

    We need tariffs on dairy. No way should any milk product be cheaper to import. FAIR TRADE, not FREE Trade.

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