The long-term future of the Summit Wool Spinners plant in Oamaru will not be known until May at the earliest, with new owners Godfrey Hirst employing 61 workers in the interim.
Former Summit Wool Spinners staff member Sharon Solomon said the sale of the carpet yarn exporters by its Japanese owner, Sumitomo Corporation, would put 160 people out of work and would mean $11 million less in the local economy.
First Union textiles secretary Paul Watson said both (Waitaki Mayor) Mr Familton and the union had been in contact with the ministry to seek funding for an additional support programme.