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Workers at Dunedin's Hillside Engineering Workshops have been sent home for the day.
This morning they were told sale of the plant to Australian engineering giant Bradken was confirmed and the plant in its current form is to be decommissioned.
New Zealand Rail and Maritime Union organiser John Kerr said 90 workers received the news they would lose their jobs at an 11 am meeting and that they were not required for the rest of today.
The first wave of around 30 staff would be sent home permanently on December 7, the second on December 21, Mr Kerr said.
The remainder would be kept on until the new year to carry out the decommissioning, he said.
- © Fairfax NZ News
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