UPDATE 11.30am TUESDAY: SIXTEEN contractor jobs are expected to be axed from Boag's Brewery in Launceston, in addition to the 39 job losses announced on Monday.
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A spokesperson for parent company Lion confirmed the expected number of additional losses on Tuesday morning.
She said Boag's hoped to complete the redundancy process by the end of September.
Negotiations on the exact number of contractor job losses are continuing.
- ALEXANDRA HUMPHRIES
EARLIER
BOAG’S Brewery will shed its workforce by a third, in a move that has been met with shock and disappointment by workers, unions and all sides of politics.
Staff at the 135-year-old James Boag’s Brewery in Launceston were told on Monday that 39 positions would be axed as global brewing giant Lion moves more of its beer production interstate.
Contractors are also expected to be affected, as Lion shifts the brewing of 20 million litres of non-Boag’s brands outside Tasmania.
Lion managing director James Brindley said the decision was ‘‘not taken lightly’’.
‘‘This change will allow us to reconfigure the Boag’s Brewery to a size more appropriate for the Boag’s portfolio, significantly improving efficiency,’’ Mr Brindley said.
‘‘This change will essentially return the Boag’s Brewery to its traditional focus on the Boag’s portfolio of Tasmanian beers, which is still a very substantial 36 million litres,’’ he said.
Mr Brindley said the transition was expected to be completed by the end of September.
‘‘We recognise the impact this will have on our people and we will be providing them with comprehensive support to help them manage this transition,’’ he said.
United Voice state secretary Jannette Armstrong said workers were devastated.
‘‘The loss of these jobs is a huge blow not only for the 39 people who will lose their jobs but for their families, the Launceston community and all Tasmania,’’ Ms Armstrong said.
‘‘The impact of these job losses will be felt across the state, where at 6.6 per cent unemployment continues to be worse than the national average of 5.8 per cent,’’ she said.
State Growth Minister Matthew Groom said the company had not requested assistance, but the government’s Skills Response Unit was available to help workers.
‘‘Lion’s decision is disappointing, but it is important to note that it has occurred against a trend of strong jobs growth in Tasmania, including in the North,’’ Mr Groom said.
Launceston mayor Albert van Zetten said it was a ‘‘severe blow’’ to affected workers, and there were uncertain times ahead.
‘‘We are extremely disappointed at this announcement and we are thinking of the affected workers,’’ Alderman van Zetten said.
‘‘We will redouble our efforts working with state government to stimulate business creation and employment in the city.’’
Last year, about 18 casual positions were lost when Lion announced it would move production of nationally branded glass beer packs for the West Australian market to the Tooheys brewery at Lidcombe in NSW.