WANGARATTA'S Merriwa Industries is looking to bounce back after having 23 full-time positions become redundant in recent months, off the back of a reduction in consumer demand due to high cost of living pressures.

Merriwa announced 13 redundant positions across its timbers and packaging divisions, due to a drop in sales, the result of a downturn in the economy.

There have also been two finance positions made redundant as a result of the changes to these two divisions.

Prior to these redundancies in May, Merriwa had 10 people take up an offer of voluntary redundancy, including one team member living with a disability.

In total, across both phases of the process, were the equivalent of 23 full-time positions affected.

Merriwa is one of the larger employers in Wangaratta, employing about 270 staff in an ‘integrating employment’ setting.

Around 150 staff members are people living with a disability.

All other divisions – Park Lane Nursery, contract services, Merriwa community services, and packaging divisions in Wodonga - have had no changes to their workforce numbers.

Merriwa CEO Bart Crawley cited the lack of new homes being built as one of the major contributors to the reduction in demand for structural beams produced at the Greta Road site.

“This is the fifth consecutive year we will be making a loss and we just can’t keep holding on, hoping that the industry will pick up," Mr Crawley said.

"Latest industry predictions are that it won't be until 2026 that we will see a return to growth of any significance."

The packaging division in Wangaratta is also experiencing a slowing of demand, as consumers tighten their spending and customer orders reduce in volume.

However, Mr Crawley said there is hope on the horizon as new business opportunities are coming on board.

“We are optimistic about opportunities we are working on for the packaging division and we anticipate being able to go back to actively recruit in the local labour market in around 12 months when we have recovered from the current challenges we face," he said.

"We would welcome anyone whose position has been made redundant to apply at this time."

Mr Crawley said Merriwa offered a comprehensive employee assistance program to support their staff who have been made redundant.

“Our care for employees is our first priority," he said.

"We have provided counselling, career advice and job-seeking assistance by professional, external providers.

"This was a difficult time for all team members, so we took care to move through the process in an open and respectful way.”