Financial problems in the Yarrows bakery factory mean that 41 workers will lose their jobs and another 192 workers are worried about the future.
Yarrows in an unusual factory. It was started by husband and wife, Alf and Grace Yarrows, in 1923 and has stayed a family business for 88 years. It employs about 230 staff, almost a quarter of the people in the small town of Manaia, South Taranaki. It makes bread rolls for Subway in New Zealand, Australia, Hong Kong, Singapore, Japan and Taiwan. Every month, the company exports 1 million Subway rolls as frozen dough.
The company called in the receivers because of financial problems. Receivers are usually accountants who manage bankrupt companies. The receivers hope to continue the business until they can find a buyer for the company.
Job losses at KiwiRail workshops in Dunedin and Wellington were also announced today. The KiwiRail workshops wanted the job of making new wagons for trains but the company decided it was cheaper and quicker to buy wagons, engines and containers from China.
Vocabulary
“dough” is bread before it has been cooked.
“loss” is a noun – “lose” is the verb.
“staff” includes all the workers – factory workers, office workers, bosses, drivers etc.
“bankrupt” means the company does not have enough money to pay its debts
“manage a company” means control it.
Questions
Do you think KiwiRail should support New Zealand workers, even if it costs the company more?
What are some of the difficulties for an export company in a small town? Are there advantages?