Strategic Revamp of Abattoir Aims to Address Labour Shortage in Meat Processing

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The recent $300 million upgrade to an abattoir in southern New South Wales represents both a modernization effort and a response to the persistent shortage of skilled workers in the meat processing sector. This development comes at a time when only 85 per cent of meat processing positions in Australia are being filled.

In 2019, the Australian Meat Group (AMG) acquired the moth-balled Cootamundra abattoir and commenced the reconstruction of the facility with cutting-edge technology aimed at streamlining operations and facilitating the recruitment of the required 1,000 workers. The new beef processing line is already operational, with ongoing work on the chillers and storage facility.

Gilbert Cabral, Managing Director of AMG, has emphasized that the integration of technology is not intended to reduce the workforce, but rather to enhance productivity and efficiency. He stated, “We’re not going to be reducing the amount of people [needed at the plant], but we’re able to produce more product per kilo per person.”

Cabral also noted that technology has reduced the skill requirement for labour, making it more feasible to train a larger group of workers. Furthermore, the stockyards have been designed to prioritize animal welfare and ensure that workers can move around without coming into contact with the livestock.

Within the processing facility, carcases will be tracked using Radio Frequency Identification, allowing for more efficient processing tailored to the customer. The facility will also incorporate a significant level of automation to efficiently sort and move cartons and pallets of meat.

Addressing the ongoing labour shortage, Patrick Hutchinson, CEO of the Australian Meat Industry Council, highlighted that only 85 per cent of available meat processing jobs were being filled. He also underscored the industry’s commitment to innovation and the use of robotics to make employment in the sector more attractive.

While technology and innovation are helping to mitigate some of the labour challenges, there remains a need for a permanent workforce. The industry is advocating for changes to facilitate access to overseas labour and is also confronting issues stemming from regional housing shortages.

Despite these challenges, the Cootamundra abattoir is poised to achieve full operational status by 2025, with plans to process 1,000 cattle and 7,500 sheep per day. With these ambitious objectives, AMG is also seeking to accommodate the 1,000 workers needed when the cattle and sheep processing lines are operational concurrently. The company has already commenced the recruitment of workers from Samoa and intends to construct on-site accommodation to address the regional housing shortage.

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