Hundreds of jobs are at risk after Gourmet Food Holdings, the group behind iconic food brand Rosella, was placed into receivership, triggering claims the federal government has failed manufacturers.
Ferrier Hodgson announced on Monday that partners Steve Sherman, Jim Sarantinos and John Lindholm had been appointed receivers and managers of food manufacturer Gourmet Food Holdings and Waterwheel.
The group's interests include sauce, spice and chutney manufacturer Rosella, based at Seven Hills, NSW; Auckland-based organic soups and pre-made meals maker Pitango; and crispbreads and cracker maker Waterwheel, based in Dandenong, Victoria.
Sherman said the receivers would conduct an urgent assessment of the group's financial position. They will also hold talks with key stakeholders including employees, customers and suppliers to determine whether operations can continue.
The receivers have warned the group's 275 staff their jobs could be affected by some restructuring of the companies, but said it was their intention "to explore all options to ensure that your employment can be preserved".
It was not immediately clear whether employee entitlements would be paid in full, Ferrier Hodgson said in a statement.
Australian Manufacturing Workers Union secretary Tim Ayres said workers only learned of the company's troubles at 6am (AEDT) on Monday.
"These people are totally taken by surprise and are only being briefed as we speak about the circumstances the company finds itself in," Ayres told reporters in Sydney on Monday afternoon.
He said about 80 positions were at risk at the Seven Hills site in Sydney, but there had been no redundancies as yet.
"People are very concerned leading up to Christmas at the prospect of job losses," Ayers said. "(But) we have received assurances that the focus of this administration is to sell what is a viable Australian food-making business as a going concern and to protect every single job."
Opposition spokeswoman for industry Sophie Mirabella said the news was "yet more evidence that Labor has failed our manufacturers", burdening them with additional cost pressures from the carbon tax.
"This comes as we find out that Australian manufacturing activity is now in its ninth consecutive month of decline," Mirabella said. "Manufacturing in Australia is in crisis and this economically negligent Labor government continues to stand by as our manufacturing sector collapses."
She said 33,000 jobs in manufacturing had been lost since the carbon tax was announced.
An expressions-of-interest campaign will be launched in the next few days in an effort to identify potential buyers for the group or its individual businesses.
The group's secured creditor had provided support for an extended period of time as it worked towards a sale, the receivers said.
