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Clothing company Norsewear said today it would make 18 positions redundant at its Norsewood factory, which it still planned to sell.
Seven staff would be retained to produce socks and accessories.
The company told staff today that the positions would end in four weeks, Norsewear director Ian Dickson said in a statement. Staff would be given formal notice by the end of the week, and would receive their full entitlements.
Norsewear was still working to sell the factory despite the restructuring.
"Two parties have expressed interest, but at this time it's not possible to predict what the outcome will be," Mr Dickson said.
"However, there is still a need to restructure the factory immediately," he said.
Norsewear has sold its brand to New Zealand clothing company Apparel Brands, owned by Barkers' Menswear's former owner, Ben Nathan.
Norsewear said Apparel Brands will still make Norsewear's socks in New Zealand, leaving a question mark over where the rest of the clothing range will be manufactured.
Management has bought Norsewear's six retail shops. The company is also trying to sell its Wanganui factory.
Forty-year-old Norsewear has promoted itself as New Zealand made, holding out while other iconic brands such as Swanndri moved their manufacturing overseas.
- NZPA