Lack of wood forces last white paper mill to close

The closure of a local paper mill in the Latrobe Valley is a further blow to the region’s manufacturing base.

Stacie Sawyer outside the Opal Australian Paper mill at Maryvale, in the Latrobe Valley. Picture: Arsineh Houspian

Stacie Sawyer is one of hundreds of workers who face losing their jobs after Australia’s last white paper manufacturer announced it would cease production.

Ms Sawyer, a line assistant at the Opal Australian Paper mill at Maryvale in Victoria’s southeast for about two years, said workers were still waiting for the redundancy process to start on Monday following news last week that about 200 workers could lose their jobs after the mill produced its last ream of white paper on January 21 due to a lack of wood supply.

Employees guessed in November they could be in the firing after a Victorian Supreme Court action brought by environmental groups over concerns that logging of timber in greater gliders’ habitat could threaten the species.

The case ultimately forced VicForests to stop harvesting timber in Gippsland, the Central Highlands and Tambo.

A mill spokeswoman last week said while white paper production would cease, cardboard fibre packaging would continue to be manufactured after Opal was “unable to source viable alternative wood supplies to replace the shortfall from VicForests”.

Ms Sawyer said the “waiting game was horrible”. “Being at work was really hard,” she said.

Asked what impact the news would have, Ms Sawyer – who has lived in Traralgon her whole life – said: “Job loss, most likely”.

“I'll start looking for other ­options just in case … just in case I don’t get redeployed,” she said.

Premier Daniel Andrews said last week that the end of white paper manufacturing was not a result of government policy.

“We were clear there was a transition that needed to occur that was on a much longer time­frame (but) the courts have intervened,” he said.

Con Mavrofridis, co-owner of Mavro’s Deli in Morwell – the nearest town to Maryvale – agreed local businesses were likely to suffer if jobs continued to be cut.

“The mill has been an integral part of Gippsland for … years. I think it’s complete uncertainty for everyone as to what’s really going to be the aftermath of something like this,” he said.

Mr Mavrofridis, also a former worker at the Hazelwood power station, was optimistic about the valley’s future with the promise of renewable industries but said redeploying workers should be a priority. “There doesn’t feel like there’s a plan for these people. We want action,” he said.

“People want to know that being in Morwell, being in Gippsland, is a place where they can firmly plant their feet … and know that they've got great secure jobs and they can sustain their families for generations to come.”

Gippsland Trades and Labour Council secretary Steve Dodd said unions were not consulted about the paper mill job losses, ­despite meeting Opal several times in the lead-up.

“I believe the company has cut too hard in regards to redundancy. I think they have taken the opportunity to clean the deck and … later on, they'll probably try and bring in labour hire,” he said.