Water policy under fire as SunRice cuts 78 Riverina jobs

SunRice has officially announced the elimination of 78

SunRice has officially announced the elimination of 78 roles and the restructuring of 92 positions across its Riverina operations, concluding a month-long consultation process with employees and union representatives. The move has sparked immediate criticism from local officials, who attribute the job losses directly to the Commonwealth’s ongoing water buyback program.

The Deniliquin Council, which represents the region hardest hit by the cuts, issued a statement accusing federal water policy of undermining the viability of agriculture-dependent industries. Council leaders argue that the systematic purchase of irrigation water entitlements has reduced the volume of rice that can be grown locally, forcing the company to scale back its workforce.

SunRice, Australia’s largest rice processor, framed the decision as a necessary response to sustained pressure on its supply chain. Over the past several years, the company has faced shrinking harvests due to water scarcity, rising production costs, and uncertainty around future water allocations. The company said the changes are designed to streamline operations and ensure long-term sustainability, though it acknowledged the significant impact on affected staff.

Union representatives, who were involved in the consulta…

Union representatives, who were involved in the consultation, expressed disappointment but stopped short of endorsing the council’s direct blame of the government. Instead, they called for a broader conversation about the future of the rice industry, including the need for targeted support for workers and communities that depend on it.

The job losses come at a time when rural economies in the Riverina are already under strain, with many farmers and businesses grappling with the cumulative effects of drought and policy shifts. Local leaders fear that further water buybacks could trigger additional job losses, prompting renewed calls for a review of the Commonwealth’s approach.

SunRice has not ruled out further adjustments in the future, saying it will continue to monitor water availability and market conditions. For now, the focus remains on supporting the employees affected by this round of changes, with the company offering redundancy packages and access to transition services.

The situation highlights the growing tension between nat…

The situation highlights the growing tension between national water conservation goals and the economic realities of regional Australia. As the debate over water reform intensifies, communities like the Riverina are left to weigh the long-term benefits of environmental sustainability against the immediate cost of livelihoods lost.