The $42 million buyout of McWilliam’s Wines by Calabria Family Wines will see major job losses for the group, according to The Daily Telegraph.
It is believed half of the employees from one of Australia’s oldest wine producers will go in the change of ownership.
Calabria Family Wines and property mogul Roy Medich’s Medich Family Office bought all assets and the name of the Hunter Valley and Riverina-based McWilliam’s Wines vineyards last month.
Calabria Family Wines will operate the winery and cellar door at Hanwood Vineyard just outside Griffith while developers Medich Family Office will take over the Mount Pleasant winery as well as winemaking assets at the site.
However, KPMG administrator’s reports suggest as much as $47 million is still owed to creditors including the Australian Taxation Office.
KPMG administrators said a total of 58 employees (approximately half of all staff) between the two locations would be “transferred or offered new roles within the business or a short term contracted position”.
The remaining employees, mostly from the Griffith facilities, would have to be let go from the company, as reported by The Daily Telegraph.
While Calabria Family Wines will take over a winery and shopfront cellar door at Hanwood Vineyard just outside Griffith.
Calabria Family Wines marketing director Andrew Calabria said the business “will try to maintain as many jobs at McWilliam’s Hanwood site as possible”.