2012



Flow-on effect from Ford cuts: industry02:31 AEST Wed Jul 18 2012

Job losses at Ford could have a knock-on effect on suppliers, industry and union groups warn.

Ford is cutting 440 jobs at its two plants in Victoria as it reduces daily production from 209 to 148 vehicles in November in response to an industry-wide slump in large car sales.

The cuts are a sign of tough conditions facing the manufacturing sector, including the high Australian dollar, says Australian Industry Group chief executive Innes Willox.

"The decision will have repercussions up and down the supply chain especially for local auto parts makers who are already under considerable pressure," he said in a statement.

Mr Willox said both sides of politics needed to continue to develop policies to boost the sector.

"These policies and action by businesses themselves are critical to lifting manufacturing capabilities and boosting the resilience and productivity of the industry," he said.

The proposed cuts raised concerns about the viability of the auto-component industry, said ACTU secretary Dave Oliver.

"There's a significant concern about the knock-on effect. This will put significant pressure back on the component area," he told reporters on Tuesday.

But the sector would continue to have opportunities with continued investment promised by Holden and Ford, he said.

Workers will be sacked if the 440 job target cannot be met by voluntary redundancies.

Officials from the federal employment department will be at the Ford plants on Wednesday to advise workers on assistance available to them, as well as job-search and training programs.



so much for all those billions gillard swore was saving jobs!! another big lie.

Armchair_Politician wrote on Jul 18^th, 2012 at 7:42am:



Yes they did, along with the State Liberal Government who (I think) matched the Federal handout.  Crappy cars anyway!

They should just pay the workers out with a decent redundancy package rather than supporting a failing american company

John Smith wrote on Jul 18^th, 2012 at 7:53am:



Probably a lot more than what actually happened John.  Unfortunately, all it seems to have done is delayed the inevitable and the job losses will occur anyway.  I also see in the papers that Thailand are offering substantial tax incentives for car manufacturing to relocate there - and Thailand Officials will visit Aust later this year for discussions.  A lot of Holden models are produced there, then fitted out in australia so that could be another issue

Armchair_Politician wrote on Jul 18^th, 2012 at 7:42am:


Didn't you liberal supporter jump up and down when the money was handed to the car makers?

John Smith wrote on Jul 18^th, 2012 at 7:53am:



well it didnt save jobs did it??? this is the point its been billions..to put off the inevitable by 12 months is not my idea of saving jobs.. it just makes it look as if it is...whilst a certain govt pats itself on the back.

Gillard claimed in January that the last bucket of money she threw at Ford ($34 million) would create 300 jobs.

Shane B wrote on Jul 18^th, 2012 at 9:21am:




just stalling shane just stalling..the rusted on sucked it up though

Guildford wrote on Jul 18^th, 2012 at 9:10am:


and what if we ever go to war with the Asian countries, do you plan on importing your cars ?... maybe you can ask them to send you a few tanks so that you  have something to shoot at them with .... the auto industry is a vital piece of  industry  ... if we don't keep it we will one day regret it .....