Seeka packhouse

New Zealand group Seeka, one of the country's largest suppliers of kiwifruit for export worldwide through single-desk marketer Zespri, has confirmed it is to cut 37 jobs.

The news comes in the wake of Seeka's recent call for redundancy applications from its 235 staff, a move made because of an anticipated fall in next year's crop as a result of the ongoing Psa crisis affecting kiwifruit production in the country.

Seeka chief executive Michael Franks noted that it had actually received 54 voluntary redundancy applications, but had turned down 13 as it would leave it short-staffed, while a further four applications were still being considered.

Franks said that the affected roles covered all areas of the company, and while those accepting redundancy would receive 'generous' compensation, the long-term savings for the company would come to more than NZ$2m (€1.1m, US$1.5m), stuff.co.nz reported.

While Franks admitted that the Psa situation in the Bay of Plenty region was worsening, he said that restructuring and voluntary redundancies would be enough, and that the group would not yet have to resort to forced redundancies.