Redundancies, MD To Go At Electrolux

Written by Oonagh Reidy     17/04/2013 | 09:11 | Category: INDUSTRY

24 staff to go at appliance giant Electrolux as it moves sales op. to Sydney

Redundancies, MD To Go At Electrolux

The restructure of Electrolux Small Appliances Aussie business, including a relocation of the division from Sydney to Melbourne, is in order to cut costs, Asia Pacific president Claus Anderson said yesterday. 

Managing Director of Small Appliances, John Mahar, is also to leave the post prior to the completion of the division restructure, due to be complete by fourth quarter this year.

The new Sydney based team will be headed by Electrolux Major Appliances ex-national sales manager Derek Haley, who will take on the role of general manager, Small Appliances.

24 staff are to be made redundant as part of the overhaul, necessary to cut costs and increase synergies in the Small Appliances division, which will now share resources with Electrolux Major Appliances including key account management, sales, technical support and call centres.

"Working as one Electrolux within the new business model will allow Small Appliances to reduce costs and gain significant efficiencies by sharing resources and processes with the Australian operations of Electrolux Major Appliances," said Electrolux Small Appliances Asia Pacific president Claus Anderson.

"In Australia, we see clear synergies in both the 'front-end' to increase account coverage and in the 'back-end' in accounting, finance, IT and customer care.

"The new Small Appliances operations will be better equipped to serve customers in a co-ordinated way and increase the number of customers receiving direct sales support."

Electrolux service centre will remain operating in Victoria.

Marketing and product functions for Australia and New Zealand will be retained within the Small Appliances business. New Zealand Sales and Operations are unaffected.

But a further 28 jobs are to go from the appliance giants' factory floor at its plant at Orange, NSW, as part of "natural attrition," reports Central Western Daily.

The Orange based plant has come under increasing pressure in recent months to cut costs, with the threat of production moving to cheaper economies including Thailand looming.

The plant is currently undergoing a six month assessment by Electrolux to determine its future viability. 

Breaking News

  • OZ eButton Could Save Your Life

    OZ eButton Could Save Your Life
    Australian engineer Ian Kinny has created a Bluetooth LE-powered personal safety eButton which allows users to call for help via the click of a button.

  • New LG 65

    New LG 65" 4K Ultra HD TV with webOS
    Radical improvements in content functionality and style are the defining features of the latest Smart TVs and this is especially noticeable with LG's new 65" 4K Ultra High Definition UB980T TV that comes with slick new software called webOS.

  • Foxtel Welcomes OZ Copyright Discussion Paper

    Foxtel Welcomes OZ Copyright Discussion Paper
    Foxtel has welcomed the Government's online copyright discussion paper and actions to stem piracy, saying it "represents a positive step in protecting the hard work of content creators and distributors".