Mondelez International, the owner of Cadbury, has begun discussions with Tasmanian employees at its Claremont factory about potential job cuts and automation.
The company has proposed around 20 voluntary redundancies for affected manufacturing and support roles.
A Mondelez spokesperson confirmed the changes to Pulse, saying redundancies will be offered once vacant positions and redeployments are considered.
“In order to deliver another 100 years of manufacturing in Australia, it is important that we continuously improve our operations and find ways to be more efficient to ensure a sustainable future,” they said.
“These changes will create new opportunities for employees but could also mean some will be leaving largely on a voluntary redundancy basis around September next year.”
The move comes as the factory, which produces Cadbury Dairy Milk blocks and popular novelty products like Freddo Frogs and Caramello Koalas, undergoes upgrades.
Under the proposal, Mondelez is exploring ways it can “adopt automation and build digitalisation capabilities” as ageing infrastructure at its end of life is replaced to “modernise” and “simplify” production.
“Our manufacturing facilities in Claremont and Burnie support employment of over 700 Tasmanians in roles which have changed and evolved over the past 100 years since our first factory was established in 1922,” the spokesperson said.
The Australian Manufacturing Workers’ Union (AMWU), which represents Mondelez workers, said it will support its members through consultation.
“Mondelez has proposed new automation along with some voluntary redundancies and consultation with the union has just commenced,” AMWU state secretary Jacob Batt told Pulse.
“We will be working with our members and the company through this process.”
The company says affected workers will be provided with career and financial support to make “informed decision about retirement” and their futures.
