Evowood (formerly Masonite) would like to confirm that production at its Estcourt mill has halted after an illegal strike at the facility.

Chief executive of Evowood, Louis Marais, said that the plant had closed to ensure the safety of all Evowood staff.

The unprotected strike was allegedly in response to a 12 percent salary cut. This formed part of an agreement signed by all stakeholders at the end of November 2016. It remains central to the business plan that is being implemented in order to return the company to profit and to build a sustainable business.

READ FULL STORY HERE: Industrial action grinds Mill to a halt

The Masonite mill was on the brink of closure in December 2015 when it was acquired by Black Bird Capital and Jacobs Capital that brought the company out of business rescue and took control in August 2016. The shareholders have already invested more than R50 million, including the rebranding of the business as well as upgrading of the plant over December 2016.

Marais said that he could not confirm when the mill would be operational again.

The labour dispute remains unresolved. He said that the company was following due process as laid down by the relevant legislation.
Contingency plans are in place to ensure that Evowood’s valued customers are not negatively affected during the shutdown of production.

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