Former prime minister Scott Morrison inspects flood damage at the Norco ice cream factory in March. Photo: AAP
Dairy giant Norco will spend more than $59 million to rebuild its flood-damaged ice cream factory in the NSW Northern Rivers, three weeks after standing down hundreds of workers.
The factory, which sits on the banks of the Wilsons River in South Lismore, was forced to close after the catastrophic February floods, leaving more than 200 workers uncertain of their future.
The dairy co-operative announced on Tuesday it would rebuild the factory with $34.7 million from a federal and NSW government flood package, along with $11 million from an outstanding 2019 grant from the state’s Regional Growth Fund.
The company said it would contribute more than $59 million to the rebuild, estimated to total more than $100 million.
“Norco will be taking on a greater level of risk – something we’re prepared to do in order to safeguard jobs, support other small and medium businesses in region, and offer a sense of hope to a community of people who have already endured so much,” chief executive Michael Hampson said in a statement.
Last month, Norco said it was standing down up to 240 workers because the $34.7 million grant from state and federal governments was not enough to save the factory in the short term.
At the time, Mr Hampson said workers would be welcomed back once the factory was rebuilt.
The layoffs prompted three unions to meet Norco management late last month, urging certainty for staff.
The Australasian Meat Industry Employees Union’s Justin Smith said workers should receive voluntary redundancies, with a guarantee their jobs would be available when the factory reopens.
“Workers at Norco and the entire Lismore community have been through so much this year,” Mr Smith said last month.
“They need stability and clarity about the future as soon as possible.”
A spokeswoman for the Australian Manufacturing Workers’ Union on Tuesday said there had been no further updates on the future of the Norco workforce.
But during the announcement of the rebuild, worker Trent Dobrunz said he looked forward to returning to the factory.
“This will be a great day for ice cream factory employees and will send much-needed positive signals right through the Lismore community.”
-AAP