Citing high operating costs Avery Dennison, which is the
only company in the industry to operate two manufacturing centres, says the
restructuring of its Australian operations will lead to 59 job losses. Around
ten new jobs will be created in coating and production management in Adelaide
as a result of the move.

The company is moving its corporate services out of
Tottenham, and is investing more than $1m in a new head office, customer innovation
centre and distribution centre in Melbourne,
which will create 19 new jobs, and which will employ 80 staff in total.

David Martin, general manager at Avery Dennison says,
"This is a very difficult day. The unfortunate situation that we are
dealing with is that our market is facing real challenges, that are with us now
and that will only become greater in the future."

Primary products manufactured in Melbourne
include wine and pharmaceutical labels, as well as graphics, reflective and
automotive applications.

Darren Milligan, marketing manager says, "Simplifying
the operations reduces complexity and frees up resources to help our customers
grow. As a result of these changes our workforce will be able to spend more
time developing innovative new partnerships with our customers."

In addition to the new Melbourne
head office and the remaining manufacturing and distribution centre in SA,
Avery Dennison has distribution centres in Sydney,
Brisbane, Perth and Auckland.
It has 290 staff on its books.

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