Jaala Pulford
Hundreds of timber workers have been handed a temporary lifeline after the owner of Australia’s largest hardwood mill agreed to hold off on shutting down for at least a month. Source: Herald Sun
Australian Sustainable Hardwoods has delayed its decision on whether to close the Heyfield timber mill after its senior executives met with Victoria’s Agriculture Minister Jaala Pulford.
The company will form a working group with the State Government and union representatives to develop a plan to keep the mill open within the next month.
CFMEU forestry secretary Frank Vari said the company had agreed to put off any plans of closing while a working group considered options to keep the mill open.
“We were in a situation last week where the company said it was going to close, they needed to backtrack and put on hold any decision to allow that clean air and that has now allowed the parties to get around the table and start finding solutions,” Mr Vari said.
“What we have agreed to do is put together a small working group to look at all the options moving forward with the primary objective being to save those jobs at Heyfield, and in approximately four weeks time that small working group will provide an update on what the options are and what the alternatives are.
“The union is going to leave no stone unturned in our endeavour to save the jobs at Heyfield, and moreover the jobs all the way downstream. We have a significant number of manufacturers that rely on that mill.”
The mill has no timber supply locked in beyond June this year, and is claiming VicForests has offered to provide 80,000 cubic metres of logs next year — far short of the minimum 130,000 needed to operate a viable business.
According to VicForests, the level of supply needs to be reduced to help ensure the ongoing sustainability of the industry.
Ms Pulford said all parties had now agreed to work together to save the mill.
“While this work continues over the next four weeks, Australian Sustainable Hardwoods has committed to suspend steps to close the Heyfield mill,” Ms Pulford said. “The meeting was constructive and focused on the need to identify viable arrangements for the mill which protect local jobs, given reduced timber availability.”
