Last week, First Union (formerly NDU) announced Cavalier had made 22 workers and some management redundant across its Wiri, Napier and Wanganui mills, while Norman Ellison Carpets, which is 70% owned by Cavalier, made 20 workers redundant at its Onehunga yarn mill this week.

Yarn and carpet market Cavalier is cutting 42 jobs.

The FIRST Union said Cavalier, which has about 400 staff, would cut 22 jobs including some management positions at its Wiri, Napier and Whanganui mills.

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Carpet maker Cavalier and one of its subsidiaries are laying off 42 staff in their yarn operations as rising wool prices put the squeeze on manufacturers, according to FIRST Union.

About 10 jobs are to be shed from Cavalier Spinners Ltd in Awatoto near Napier.

The news of the loss of about 22 jobs from the Cavalier sites in Awatoto and two Auckland mills was announced yesterday by First Union.

The plant currently employs 150.

A combination of a high wool price, lack of new housing starts and the lack of progress on the Canterbury rebuild had conspired to send the New Zealand yarn and carpet industry "down the same negative path as the wood processing industry", FIRST Union (formerly NDU) general secretary Robert Reid said.

A union leader says a more than 100 per cent increase in the price of wool is partly to blame for a downturn in the carpet-making industry.

While farmers are reaping higher returns from wool for carpet manufacturers it’s the opposite for workers in the carpet industry where the pain of redundnancy is being felt. 

FIRST Union general secretary, Robert Reid, says high wool prices are making wool-based carpets too expensive and some carpet makers are switching to synthetics.

Carpet maker Cavalier has made 22 workers redundant in its Wiri, Napier and Whanganui mills, according to the union representing textile workers.