Philip Morris Melbourne cigarette factory closes, with loss of 180 jobs

    JARED OWENS
    The Australian
    April 02, 2014


TOBACCO giant Philip Morris is closing its cigarette factory in suburban Melbourne, blaming Australia’s stringent fire safety regulations for the loss of up to 180 jobs.      :(

In another blow to Australian manufacturing, Philip Morris Limited this morning announced the closure of the Moorabbin factory after almost 60 years of operation, moving the jobs to South Korea.      :(

In a statement, the company said it was optimistic about exporting more Australian cigarettes overseas but “these forecast export opportunities have not been realised due to Australian government reduced-fire risk requirements introduced in 2010 on all locally manufactured cigarettes that do not match consumers’ preferences in other markets in our region”.

“This is an extremely difficult decision, and devastating news for all of our employees,” John Gledhill, PML’s regional managing director, said.

“Philip Morris Limited has a proud history of nearly sixty years of manufacturing in Moorabbin, being the first Philip Morris affiliate established outside of the United States, and many of our employees have been with the company for a significant part of that journey.

“With any significant export opportunity restricted by Australian government regulations, our Moorabbin factory is significantly under-utilised, operating at less than half of its currently installed capacity,”

Mr Gledhill said approximately 180 employees directly involved in manufacturing will be impacted by the planned closure, and extensive support will be provided to all employees throughout this period, including redeployment opportunities where feasible, counselling and coaching, career transition and outplacement support, and financial and retirement advice.

“Although closing the factory will require a review of our usage of the entire Moorabbin site, PML will maintain a strong ongoing commercial presence in Australia employing around 550 people and will continue to be headquartered in Melbourne,” he said.

“Despite the introduction of plain packaging and the continued growth in illicit trade, PML’s volumes were stable in 2013.”

Opposition treasury spokesman Chris Bowen urged state and federal governments to “ensure every assistance possible is given to those workers” affected by the closure.

“The Abbott government has had months to deal with this (downturn in the manufacturing sector),” Mr Bowen said in Sydney’s Fairfield.      :(

“Everybody understands the challenges when you have job losses but they also expect governments to be dealing with it, and this government seems more devoted to spinning their way into May’s budget than they are determined to assist workers affected by change.”

Brisbane job losses as BP refinery is closed      :(

Date
    April 2, 2014


Oil giant BP has announced it will close its Brisbane refinery resulting in the loss of more than 350 jobs.

The number of jobs at the Bulwer Island refinery at Pinkenba will be reduced from 380 to 25 by 2015.

BP Australia president Andy Holmes announced the closure at a press conference in Melbourne on Wednesday morning.      :(

"This is a difficult day for the people of Bulwer and were are doing everything we can to support them," he said.

The 380 staff at the plant site were called to a town hall-style meeting on Wednesday morning.

"They were the first to know ... as I walked in here the announcement was being made at Bulwer," Mr Holmes told reporters in Melbourne.

The Bulwer refinery has the capacity to produce 102,000 barrels of oil a day, including petrol, diesel, kerosene, jet fuel, heating oil and LPG.

But Mr Holmes said the rapid growth of major refineries in the Asia-Pacific region was affecting the fuels supply chain in Australia and putting huge commercial pressure on smaller scale plants.

Tim Wall, managing director of Bulwer Island refinery, said the plant would provide employees with transitional support and job placement assistance.

"This is a sad day for all of us at Bulwer and I know that these changes will be difficult for our employees," Mr Wall said.      :(

"Given the quality of our people, I’m confident that those who choose to look for alternative employment will be highly regarded by employers in this area."

The announcement comes amid cutbacks and closures throughout Australia's refining sector, as local plants struggle with oversupply in refining in Asia, a strong dollar and high costs.

Earlier this year, rival Royal Dutch Shell announced its exit from refining and marketing in Australia, with the agreed $2.9 billion sale of its Geelong refinery and most of its retail business to international trader Vitol.

Shell has already closed its Sydney refinery, while Caltex Australia is set to convert its Sydney refinery to an import terminal by the end of this year.

Shadow treasurer Chris Bowen said the news would be distressing for the BP workers.      :(

‘‘I understand that BP is making steps to retain some workers but obviously not all,’’ he told reporters in Sydney.

‘‘We would encourage BP and the federal and state governments to work cooperatively to ensure every assistance possible is given to the workers.’’

The Bulwer Island refinery was constructed by Amoco Australia in the mid 1960’s at a cost of about $25 million. BP bought the plant in July 1984.

The area on which refinery stands was originally a tidal mangrove swamp that was built up using sand dredged from Boggy Creek and the Brisbane River.

Read more: http://www.brisbanetimes.com.au/queensland/brisbane-job-losses-as-bp-refinery-is-closed-20140402-35xld.html#ixzz2xgdplYhj

"Philip Morris Melbourne cigarette factory closes ... "

Excellent news.

I think all these closures are all Abbott's fault.

All these problems have only come up in the last 6 months.

Chris Bowen sounds like he's on top of the game here, let's give him and his party 6 years to fix manufacturing in OZ.

Oh.....wait a minute.... ::)

My brother in law works in the tobacco industry...  this has been coming and happening for years.

The schizo approach to the industry by governments has had an impact.

They hate them but love their money.

The new packaging and years of negative publicity has had an impact on the industry, which also involved printing and packaging...  we print and send cigarette packaging to countries overseas, they have been developing their own facilities.

This is yet again not the fault of the Abbott abbott Abbott government.

180 jobs gone in tobacco, will probably lead to thousands of jobs going in health.

miketrees wrote on Apr 2^nd, 2014 at 11:39am:

180 jobs gone in tobacco, will probably lead to thousands of jobs going in health.

Correct, people won't smoke now.

::)

Maybe they will change brands.      :(    

My point was, not all job losses are bad.

Perhaps we should look at how many bank robbers are out of a job?

I know I am being absurd, not all jobs are good ones.

It may well not be strictly Abbotts fault, but it does go against the whole open for business thing.

Factory closed?

GodDAMN!

This means Con and Maria, and Luigi and Maria will be spending less time on holiday in Greece and Italy this year.

8-)

greggerypeccary wrote on Apr 2^nd, 2014 at 11:26am:

"Philip Morris Melbourne cigarette factory closes ... " Excellent news.

They were dried horse-sh!t to smoke. Very rough on the back of the throat. Not as bad as Gauloise Bleu which I smoked when I was at my cousins in France, but horse-sh!t nevertheless.

Remember Tony Barber and the mint he made advertising cigarettes on TV?

'Have a Winfield!' (I never did. Piss-weak)

He's now very 'remorseful' for having taken that dirty money.

'Remorseful'.

When I die and I'm thrown at the feet of Satan in Hell ~ I'm going to say ... "I'M REMORSEFUL!" ... and the trend being as it is in our courts, he'll probably send me up to the other place as forgiven.

'Remorseful'.

I should have said that to the Headmaster at school every time I was up for a caning.

"I'm remorseful!"

"Oh well, in that case, off you go Master Herbert".

Prime Minister for Canyons wrote on Apr 2^nd, 2014 at 11:58am:

It may well not be strictly Abbotts fault, but it does go against the whole open for business thing.

Ah the progressive left never finding it easy to let go and face reality.

Grendel wrote on Apr 2^nd, 2014 at 11:38am:

The new packaging and years of negative publicity has had an impact on the industry

boo smacking hoo

Quote:

PETRONAS, short for Petroliam Nasional Berhad, is a Malaysian oil and gas company that was founded on August 17, 1974. Wholly owned by the Government of Malaysia, the corporation is vested with the entire oil and gas resources in Malaysia and is entrusted with the responsibility of developing and adding value to these resources.

Maybe we should have had one, big, govt owned and run refinery instead of half a dozen small private concerns.

Perhaps if Ming had not sold off COR we would have....

But, then again, some latter day d!ckhead would have sold it off to the lowest bidder....
:D

polite_gandalf wrote on Apr 2^nd, 2014 at 2:41pm:

Grendel wrote on Apr 2nd, 2014 at 11:38am: The new packaging and years of negative publicity has had an impact on the industry boo smacking hoo

Not a smoker myself gandalf...  not very tolerant or compassionate to the addicted are you
not a very Moslem trait eh.  ::) ::) ::)
or is it? ;D

Grendel wrote on Apr 2^nd, 2014 at 2:26pm:

Prime Minister for Canyons wrote on Apr 2nd, 2014 at 11:58am: It may well not be strictly Abbotts fault, but it does go against the whole open for business thing. Ah the progressive left never finding it easy to let go and face reality.

I agree. Australia is open for business, leftards. Mr Abbott will be a jobs PM. Ditch the witch, axe the tax, end the Labor waste, fix the budget emergency.

That's Mr Abbott for you - what a tall glass of water.

Thank heavens the grown-ups are back in charge.

King FriYAY II wrote on Apr 2^nd, 2014 at 11:32am:

I think all these closures are all Abbott's fault. All these problems have only come up in the last 6 months.

THAT'S a bit harsh !
Take a look at Victoria's employment history in relation to the sorry election of the Baillieu Government


http://resources3.news.com.au/images/2010/11/14/1225953/482667-ted-baillieu-101115.jpg




buzzanddidj wrote on Feb 19^th, 2012 at 9:54am:

Baillieu Government leading the nation  - on unemployment growth February 17, 2012 VICTORIA is taking the brunt of Australia's job losses. Official figures show a net 33,000 full-time jobs have been lost since April, equivalent to one in every 60 full-time positions in the state. Yesterday's bleak jobs data came as Qantas foreshadowed hundreds of job cuts and the possible closure of one of its two heavy maintenance depots at Avalon and Tullamarine, which together employ more than 1000 people. Nationally, the jobs figures have gone back to a zig-zag pattern. On a seasonally adjusted estimate, the Bureau of Statistics says Australia gained 46,000 jobs in January, after losing 41,000 in the previous two months. Seasonally adjusted, unemployment edged down to 5.1 per cent, but the bureau's figures show the big movement has been of people leaving the workforce altogether. In the past year, while unemployment has risen only marginally, the workforce participation rate has fallen by the equivalent of over 100,000 workers. Roughly half of those lost workers were in Victoria, where the seasonally adjusted figures reported another 15,000 full-time jobs lost in January. The bureau figures show a tale of two economies. In the past year Queensland, Western Australia and the Northern Territory have added 44,000 full-time jobs, while the south-eastern states have lost 38,000 full-time jobs. http://www.theage.com.au/business/victoria-bears-brunt-of-job-cuts-20120216-1tbyt.html#ixzz1mht6b2yf

Remember the "good old days" ?






Quote:

Victoria leads states in jobs growth Tim Colebatch November 12, 2010 VICTORIA has added more jobs over the past four years than any other state, with 278,000 more people in work than at the time of the last state election. Jobs figures released yesterday by the Bureau of Statistics show that Australia's buoyant jobs growth continued in October, with employers adding almost 30,000 jobs in seasonally adjusted terms. On the more reliable trend figures used to analyse state data, Victoria has added 95,000 jobs in the past year, with jobs growing 3.5 per cent in the state, compared with 3.2 per cent growth in the nation. Over the past four years, the bureau reports that Victoria has enjoyed the biggest jobs growth in the nation in absolute terms, and the third fastest growth behind the Northern Territory and Western Australia. ''Victoria is Australia's jobs engine room,'' Treasurer John Lenders declared. ''Not only have we achieved the 150,000 jobs target promised at the last election, we have created 138,000 more jobs than promised and more than any other state.'' http://www.theage.com.au/victoria/victoria-leads-states-in-jobs-growth-20101111-17per.html

Future stubbed out at Philip Morris before dawn shift

    RACHEL BAXENDALE
    The Australian
    April 03, 2014


“SHOCK” was the word on the lips of workers and union officials outside Philip Morris’s Melbourne cigarette factory yesterday.      :(

About 180 employees were given the news they will be made redundant in November, soon after they arrived at Moorabbin, 15km southeast of the CBD, to begin their 6am shift.

Australian Workers Union organiser Jimmy Mastrandonakis said 78 shop floor workers would be among them. “They’ve worked here 20 or 30 years. It’s the only thing they know,” he said. “It’s going to be hard.

“There’s newer people taking out mortgages and things like that. They’re … going to struggle.”      :(

He said the workforce was tight-knit, with husbands and wives working alongside one another and children following their parents onto the shop floor.

Future stubbed out at Philip Morris before dawn shift

    RACHEL BAXENDALE
    The Australian
    April 03, 2014


“SHOCK” was the word on the lips of workers and union officials outside Philip Morris’s Melbourne cigarette factory yesterday.      :(

About 180 employees were given the news they will be made redundant in November, soon after they arrived at Moorabbin, 15km southeast of the CBD, to begin their 6am shift.

Australian Workers Union organiser Jimmy Mastrandonakis said 78 shop floor workers would be among them. “They’ve worked here 20 or 30 years. It’s the only thing they know,” he said. “It’s going to be hard.

“There’s newer people taking out mortgages and things like that. They’re … going to struggle.”      :(

He said the workforce was tight-knit, with husbands and wives working alongside one another and children following their parents onto the shop floor.

Future stubbed out at Philip Morris before dawn shift

    RACHEL BAXENDALE
    The Australian
    April 03, 2014


“SHOCK” was the word on the lips of workers and union officials outside Philip Morris’s Melbourne cigarette factory yesterday.      :(

About 180 employees were given the news they will be made redundant in November, soon after they arrived at Moorabbin, 15km southeast of the CBD, to begin their 6am shift.

Australian Workers Union organiser Jimmy Mastrandonakis said 78 shop floor workers would be among them. “They’ve worked here 20 or 30 years. It’s the only thing they know,” he said. “It’s going to be hard.

“There’s newer people taking out mortgages and things like that. They’re … going to struggle.”      :(

He said the workforce was tight-knit, with husbands and wives working alongside one another and children following their parents onto the shop floor.

You don't read or listen much do you  ::) ::) ::)

Grendel wrote on Apr 2^nd, 2014 at 11:38am:

My brother in law works in the tobacco industry...  this has been coming and happening for years. The schizo approach to the industry by governments has had an impact. They hate them but love their money. The new packaging and years of negative publicity has had an impact on the industry, which also involved printing and packaging...  we print and send cigarette packaging to countries overseas, they have been developing their own facilities. This is yet again not the fault of the Abbott abbott Abbott government.