Thousands predicted to leave Southland after Tiwai Point smelter closure

Thousands of people are predicted to leave the Southland region as a result of the Tiwai Point smelter closing.

On Thursday Rio Tinto announced the shutdown of Southland's biggest employer, which contributes $400 million per year to the region's economy.

When it closes in August 2021 workers like Tony Drozdzak, who's been with the company for 17 years, will soon be out of a job.

"It's not good news for any of the families involved or even Southland as well," he said.

The shock announcement has caused ripples throughout the community.

"When you think about it, if one person at the smelter is the major wage earner in the family then the whole family has to move," Tiwai worker Jason said.

"So it might not just affect that one person, the wife and kids might have to move. I can see Invercargill becoming a bit of a ghost town."

Around 1000 workers will be made redundant, but the Southland Chamber of Commerce is estimating up to 8000 people could be affected and leave the region.

"On top of that, we've got a number of skilled labourers and the partners of the Tiwai workers that embedded in business that are going to have to move, because they've got to take their family somewhere else," spokesperson Neil McAra said.

Now key stakeholders and community leaders are calling for the Prime Minister and the Finance Minister Grant Robertson to come down to Invercargill next week to discuss the future for the plant.

It's a slim and doubtful lifeline - but the smelter's workers are still holding on to it.