Norsewear job losses likely

AUCKLAND: Staff at New Zealand knitwear brand Norsewear face an uncertain future after management at the company confirmed job loses were likely.

The 40-year-old company sold its label to New Zealand clothing company Apparel Brands for an undisclosed sum late last week.

It is understood Norsewear management told The New Zealand Herald newspaper they had sold the brand and its six retail stores to the Ben Nathan-led company.

The company said it was also continuing "intensive work" on the future of the factories in Wanganui and Norsewood (at the top of the country's North Island), but was unlikely to make a final decision for some time.

In a statement, an unnamed spokesman said he could appreciate that the brand's 85 staff had concerns about the future of their employment.

"It is still likely there will be some redundancies and Norsewear wishes to assure all staff that they will receive all their entitlements in full," the spokesman said.

Apparel Brands has confirmed it will continue to make Norsewear socks in New Zealand but speculation is rife that remaining production will be moved offshore.

If this is the case, the iconic brand will join a growing list of New Zealand apparel companies to have moved their factories overseas including Swanndri and Icebreaker.