REL: 1702 HRS Rakon Limited
OFFICE: RAK: Rakon Limited: Operational Review Update
Rakon (NZX RAK) is to streamline its Auckland manufacturing operation.
Managing Director, Brent Robinson said the company has almost reached the end
of a consultation process with approximately 45 staff affected. The staff
are largely from the manufacturing operations, where improvements in
productivity and increased automation have meant significantly increased
volumes can be achieved with fewer people. A lesser number of support and
administration staff were also included.
"As we announced last week we have been working through an on-going review
across our operations to ensure we continue to align costs with business
demand, particularly during the current economic downturn." said Mr Robinson.
"However, our engineering and R&D teams, which provide the product and
process innovations that drive our business, remain at full strength."
Mr Robinson said the New Zealand operations primarily supply into consumer
product markets where demand is currently soft. This is in contrast to some
of Rakon's other operations such as in the UK, which is focussed in other
areas and has shown solid growth.
"We are making these staff reductions now to ensure Rakon is in a strong
position to be able to capitalise on both near term and future growth
opportunities. We have not made any reduction to our large engineering group
and are ensuring we are in a good position to capitalise on new market
Marketing Manager, Rakon Limited
Ph: +64 (9) 571 9323
End CA:00173211 For:RAK Type:OFFICE Time:2008-11-21:17:02:50