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Wednesday, 15 September 2021 09:27

More pain

Written by  Milking It
More pain

OPINION: The pain continues at listed Canterbury milk processor Synlait.

The company is in talks with employees over plans to cut its workforce by 15% and annually save about $12 million.

The company has been in turmoil since Covid decimated infant formula sales to China of its key customer and shareholder a2 Milk.

Synlait co-founder John Penno, who was forced to come back as chief executive earlier this year, says some parts of the business are now over resourced, and some areas are under resourced.

The new structure will "remove any unhelpful hierarchy from the organisation".

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