The social and economic fabric of Myrtleford has been torn apart, Alpine mayor Ron Janas told a tense community meeting on Monday.
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Amid heckling, the town heard the community was divided but hope was not lost.
It came as workers were denied entry to Carter Holt Harvey’s mill on Monday morning, after dropping the threat of industrial action.
Chamber of Commerce’s Frank Ivone said the affects of the dispute would be felt for years.
“The situation that has arisen and continues can only end in despair,” he said.
“Not despair of the town, not so much the despair of businesses – it’s the morale of the people, that’s what’s affected.”
Cr Janas said the shire had taken preemptive measures to help the community.
“When these situations occur relationships break down between families, between husband and wife, between parents and children, and it takes a long time to repair but it is repairable,” he said.
Cr Janas said he had spoken to the CEO of Carter Holt Harvey who said if workers voted yes to an enterprise agreement on Friday, the lockout would end.
“It’s not a financially great business to have, but he did say it was viable and they would like to keep it going,” he said
“However if the situation drags on for a long time, like any business owner you need to do your own maths.”
Matt Quinn of Myrtleford Bakery said it was heartbreaking businesses had been forced to cut worker’s hours.
“It’s a sombre feeling in town, it’s hurting everyone. I hope we can get together and support each other,” he said.
Lions Club’s Tim Cosser said he loved that the town was filled with dedicated workers.
“That’s what the town was built on – work and that’s what we need to get back to,” he said. “It’s divided the town, 12 months ago we were all in it together.”
Worker Enzo D’Andrea said the EBA was in line with other agreements.
CFMEU National President of forestry Jane Calvert said she’d had no response from the company since workers requested a return.
Residents asked why Carter Holt Harvey did not attend the meeting but Ovens Murray MP Tim McCurdy said it was for the town.