Colorpak announces staff redundancies

Colorpak, Australia’s number one carton folding business, has announced staff layoffs as it plans to close its old Carter Holt Harvey (CHH) Reservoir Plant. The staff redundancies follow its $5 million acquisition of CHH in March of this year.

Colorpak’s managing director Alex Commins explained the move as "a rationalisation of the company's manufacturing footprint"

He stated:

“Of the 99 employees affected by this decision, we expect to be able to preserve around 66 jobs located at the Braeside and Mount Waverley sites.
"All employees who are unable to be redeployed within Colorpak will be paid out their full entitlements and assisted to find new employment elsewhere."

The company’s carton folding converting operations will be relocated, while its sheeting and stores operations will remain in its current location at the Reservoir.

The announcement of staff redundancies follows an very eventful year for Colorpak which, as well as the acquisition of CHH in March, also went through a corporate rebrand in July and unveiled a new graphics department known as Brandpak. Colorpak also announced its annual results on Monday 8 August, which saw the company’s profit margins reduce by almost 5.5% from the previous year, despite record sales and profit figures. According to Commins, Colorpak has big plans to improve the company’s ‘distressed assets’.

As well as carton folding, Colorpak also provides a range of packaging and printing services. It employs approximately 770 people, and has offices in Braeside near Springvale in Melbourne as well as in Regents Park in Sydney and Auckland.