LAST week, Australian food manufacturer Bega Group announced it would be closing its cheese processing and packaging facility in Strathmerton, impacting around 300 employees.
In a statement, the company said the phased closure, expected to be completed by mid-2026, will see Strathmerton’s operations transferred to the company’s Ridge Street site in Bega, New South Wales.
Bega Group CEO, Pete Findlay, said, “As the business maintains its focus on delivering productivity and growth, we continue to look at opportunities to simplify our operational footprint and invest for the future, ensuring we maintain globally competitive infrastructure.”
The closure will be completed in phases, with the Strathmerton site continuing to operate until the middle of new year, which will enable many of the impacted employees to have ongoing employment during this time.
“We are very aware of the impact of this decision, and we are doing our best to manage this transition with care and respect for our Strathmerton employees and the local community,” said Mr Findlay. “Where possible, we will offer re-deployment to employees to support them through this period.”
“With 300 local jobs at risk, our hearts go out to the workers and their families who are facing an incredibly challenging time. We want them to know that they are not alone – the entire Moira Shire community stands with them,” said Dr Emonson.
“We are actively working to understand the full impact of this announcement and we have reached out to Bega to seek further clarity on the staged closure and what has been communicated and offered to employees.
“We urge the Bega Group as responsible corporate citizens to be generous in how it assists employees with this news and transition.”
Dr Emonson said the Shire Council would be calling on both the State and Federal Governments to provide immediate, long-term support during the transition period.
“This includes securing economic transition funding, providing retraining and redeployment opportunities for impacted employees, and working to attract investment that will help create new local job opportunities. Our goal is clear: local jobs created to replace local jobs.”
Federal Member for Nicholls, Sam Birrell, expressed concern for government policies reducing confidence in Victoria’s agricultural sector, and said he will work closely with the Council and community in the wake of this decision.
“While Bega says it will offer redeployment where possible, the consolidation of operations in New South Wales will have a significant impact on Strathmerton and Moira Shire,” he said.
“The Albanese Government needs to support workers and the community in the short term and also take a hard look at policy settings that make food processing more difficult, including its destructive plan to rip more water out of irrigated agriculture.
“The future availability of water in northern Victoria is a significant factor in operational decisions, agribusinesses and food processors deserve greater transparency, and clear commitments to sustainable water policy.”
Mr Birrell highlighted that as a strong manufacturing region, this is something the district has faced before, and if anything has been learnt, it is that new opportunities do emerge.
“Girgarre is a great example of how we can reverse a long decline driven by loss of industry through community leadership and strategic investment,” he said.
“Once idle factories have been revived and the Australian Consolidated Milk factory has doubled production to 200 million litres since it opened in 2019, supported by a Regional Jobs and Investment package from the then-Coalition government.”
Member for Northern Victoria Wendy Lovell said the announcement has shocked the community.
“It is always disappointing when companies are forced to move operations away from regional Victoria, and my first thoughts are with the workers and their families affected by this devastating decision,” said Ms Lovell.
“My immediate priority is ensuring Bega redeploys as many staff as possible to the Tatura site and works with other local manufacturers to place affected workers into new jobs. The state and federal governments must also step up to provide support and retraining assistance for workers needing to transition to other industries.
“Local businesses supplying goods and services to the Strathmerton plant will also face heavy impacts, with economic ripples felt across the entire region.”
A Victorian Government spokesperson has confirmed that State Government support will be made available to impacted workers through the Jobs Victoria Local Employment Transition Service. This service supports people being relocated or during a retrenchment process with advice and information to assist them in finding a new job or planning their next steps.
“We appreciate this is a difficult time for Bega workers and their families following the company’s announcement that it will close one of its Victorian facilities in Strathmerton next year,” the spokesperson said.
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