After a crappy botulism test sparked falling demand for New Zealand-based Fonterra dairy products, the company is now going to axe about 110 jobs at a Hamilton packing site, a union official says.

The Dairy Workers Union official told Fairfax Media Fonterra was slashing the jobs at Canpac, in Foreman Rd, by about a third after last year’s botulism scare.

The dairy co-operative called a snap meeting of all Canpac staff this morning to tell them it was cutting back the operation to a 24-hour day, five days a week after a drop in sales volume on products packaged there.

It had been a 24 hours, seven days a week operation since expanding in 2007 on the back of the commodities boom.

Dairy Workers Union national secretary Chris Flatt said a Fonterra presentation had admitted food-safety scares played a part in Canpac losing work.