In the wake of Cowra's Windsor Farm Food factory going into voluntary administration, more than 70 workers have been sacked and local growers left shortchanged.
According to The Land, more than 70 workers have been sacked without pay this week and it's possible they won't receive worker entitlements as the business tries to avoid liquidation.
Grant Pogroske from the administrator, Grant Thorton Australia Limited, said the business can't afford to pay the farmers contracted to grow vegies for the plant.
"Unfortunately, unless they have actually delivered the goods, even though there is a contract in place at the moment, they are not going to be reimbursed unless whoever is going to take over is going to keep to those orders," Pogroske told ABC.
Pogroske said the administrator had been appointed to look at not just the Cowra cannery but also the head office and warehouse in Arndell Park.
"Unfortunately, it has been necessary to cease manufacturing and terminate the workforce without pay," Pogroske said.
"However, a number of key staff will be retained in order to complete specific orders and to undertake certain financial reviews."
Meetings with parties interested in the sale of the business are taking place, as well as discussions with employees, suppliers, customers and union representatives.