Murray Goulburn General Manager, Milk Supply and Field Services Craig McRae said the action continued the co-operative’s efforts to address its cost base, improve efficiencies, increase earnings and the farm gate milk price.
“As part of our commitment to reduce costs and drive business improvement, we are making changes to our product manufacturing operations,” Mr McRae said.
“Over the last 18 months we have managed a lower milk intake through a reduction in our contractor workforce, changes to rosters and the use of annual leave and accumulated hours. However, more decisive action is now required.
“we advised our manufacturing teams that there will be a reduction in approximately 70 roles across our Koroit, Cobram, Maffra and Leongatha sites. Voluntary redundancies will be offered for the majority of impacted roles.
“These changes will significantly increase operational efficiency, while enabling us to meet demand for MG dairy products.
“This decision is regrettable but necessary. These actions have been taken to ensure MG can deliver sustainable and competitive returns.”