Esco —‘just the global hardball player we always were’, sorry staff….

Esco Dunedin was among a group of neighbouring businesses objecting to Russell Lund’s plans to redevelop the 142 year old Loan and Mercantile building, citing reverse sensitivity concerns, including over noise. The outcome of Environment Court mediation talks was yet to be revealed, but Mr Kershaw said the issue played no part in the company’s decision. (ODT)

### ODT Online Wed, 2 Sep 2015
Foundry closure ‘a blow’
By Chris Morris
Australia’s mining downturn is set to deliver a “real blow” to Dunedin’s economy with the closure of the Esco foundry and the loss of dozens of jobs. Staff at Esco Dunedin were told yesterday the foundry would close by the end of the year, with the loss of 34 jobs. Esco products division president Jeff Kershaw, of Portland, in the United States, said in a statement the decision reflected a downturn in Australia’s mining industry that showed no sign of letting up.
Read more


█ Remember when Esco pushed this button (highlighted) at the NZ Loan and Mercantile Building resource consent hearing:

ODT Online 20.8.14 'Demolition threatened; job loss possibility raised' [screenshot] 1
ODT Online [screenshot]

█ From file records, see Russell Lund’s percipient closing to hearing:

[para] 102. The biggest hurdle would seem to be the decline of the Australian coal mining industry. I refer to a Guardian article May 5, 2014 Australian Coalmining entering structural decline.

116. Esco have a large foundry operation in China. They employ 675 people in China.

117. I am very sure the production costs of Esco’s Chinese foundries are markedly less than in Dunedin, Portland or anywhere else. That is the ticking clock for the Dunedin foundry, and other Esco foundries.

118. The bottom line is that Esco will operate this small Dunedin foundry only as long as it serves their shareholders’ interests. If the market conditions dictate that consolidation is required and it is surplus to requirements, then they will act swiftly, as they did in Brisbane.

LUC-2014-259 RV Lund Applicant Right of Reply 22.9.14
(PDF, 6 MB)

Related Posts and Comments:
6.8.15 NZ Loan and Mercantile Building —meeting tomorrow
13.3.15 Making heritage work | Dunedin New Zealand
7.1.15 Industrial Heritage Save: Cowes Hammerhead crane
28.11.14 NZ Loan and Mercantile Building —Resource Consent granted
26.11.14 Retraction (see comment on ‘Heritage Counts’)
● 26.9.14 NZ Loan and Mercantile Building —what ESCO said!
30.8.14 NZ Loan and Mercantile Building: Looking round at potential
18.8.14 NZ Loan and Mercantile Building #randomsmartphonepix (interiors)
17.8.14 Public Notices: NZ Loan and Mercantile Building… (site tour, hearing)
13.8.14 Chamber’s Own Goals —Heritage (letters)
11.8.14 NZ Loan and Mercantile Building (audio)
8.8.14 NZ Loan and Mercantile Agency Co Ltd Building…
18.3.14 Dunedin Harbourside: English Heritage on portside development
21.10.13 Harbourside: Access to a revamped Steamer Basin has public backing
16.3.10 Public meeting: planning the future of Dunedin heritage buildings
24.10.09 Rodney Wilson: Dunedin as national heritage city

█ For more, enter the terms *loan and mercantile*, *heritage*, *bradken* or *harbourside* in the search box at right.

Posted by Elizabeth Kerr


Filed under Architecture, Business, Construction, DCC, Democracy, Design, Economics, Geography, Heritage, Media, Name, New Zealand, People, Politics, Project management, Property, Site, Town planning, Urban design

8 responses to “Esco —‘just the global hardball player we always were’, sorry staff….

  1. Elizabeth

    39 Dunedin Television Published on Wed, 2 Sep 2015

    ### Wed, 2 Sep 2015
    Esco foundry closing
    More than 30 people are set to lose their jobs at the end of the year when a local foundry closes.
    Ch39 Link

  2. Gurglars

    If Russell Lund wants to redevelop that old eyesore, why would anyone want to stop him?

    As to, the cynicism of Esco, they should be charged with perjury or contempt of court, as clearly they only wanted an excuse to sandshoe their staff.

    • Elizabeth

      Gurglars, the problem (one of them!) is you like cars before magnificent grain stores. Not sure how to fix you.

      • Gurglars

        I’ll like it redeveloped, its the opposition to redevelopment I’m agin when alternatively it’s an eyesore. I lived in and owned one of Dunedin’s stateliest so I’m a believer pari partu.

  3. Peter

    Such a shame to be losing yet another productive manufacturing industry with the loss of skills that are useful to society.
    We do seem to be good now at opening cafes as a new growth industry. Flat white, anyone?

  4. Calvin Oaten

    I’ll have a ‘flat broke’ Peter with cinnamon on top.

    • Peter

      The cinnamon on top should do the trick,Calvin.
      Isn’t it instructive to know how a local firm passes into foreign hands to presumably secure and grow the business and keep it here…..and this happens.
      Expect the same and more with TPPA. Promises promises.

  5. Elizabeth

    Downturn in demand within New Zealand for company products produced for rail, forestry, heavy engineering and manufacturing industries.

    ### ODT Online Thu, 3 Sep 2015
    Another foundry’s future shaky
    By Chris Morris
    Another 74 foundry workers in Dunedin face an uncertain future after Bradken confirmed it was moving its Hillside staff to a four-day week. The Dunedin staff were told of the change on Tuesday and would begin reduced hours next week, Bradken mining and transport group executive general manager Bradley Ward confirmed from Australia yesterday.
    Read more

    Related Post:
    17.11.14 Bradken keen to sell Tewsley Street premises

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