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Union questions printing giant's demise
PM By Naomi Woodley Posted Fri Mar 15, 2013 8:21pm AEDT
Unions are raising serious questions about the sale and winding up of one of Australia's biggest printing businesses.
The Geon Group went into administration late last month and more than 650 workers now expect to be retrenched.
A competitor, Blue Star Group, has bought Geon's operations in New South Wales and Victoria, and the Australian Manufacturing Workers Union says it is refusing to offer employment to existing staff. The impasse has prompted Workplace Relations Minister Bill Shorten to intervene to guarantee Geon staff early access to their entitlements.
AMWU spokeswoman Lorraine Cassin says the union is trying to find out what led to the viable company winding up, leaving workers virtually unemployed.
She says discussions are ongoing about selling Geon's operations in Tasmania and Western Australia, but the union is upset by what has unfolded at the firm's NSW and Victorian divisions.
"Through the receivers, we were informed that Blue Star were going to offer substantial job offers to these employees and we were looking forward to that," she said.
"Unfortunately, we're advised by Blue Star yesterday that they're not going to employ any, or offer any employment, even though there are jobs that they could provide to workers, on the basis that they've got an enterprise agreement and they're not prepared to have that enterprise agreement come across their business. "So we're pretty upset about the process and what's happened to these workers."
Geon Group employed 678 workers in Queensland, New South Wales, Victoria, the ACT, Tasmania and Western Australia.
She says it is the worst-case scenario for employees and it raises serious questions.
"It's really a major problem from our point of view. We're really bemused at what's occurred here," she said.
"The major competitor has picked up basically all the contracts. It can't be a good thing for the industry.
"There's less people in the industry in competition now and we'd be certainly calling on the ACCC (Australian Competition and Consumer Commission) to have a look at what's occurred here."
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