The1985divo
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WORKERS at Holden's Elizabeth plant in South Australia were told at 7pm last night that 1400 jobs will be lost after Holden's board made a decision to cut production.
A statement issued to employees yesterday said changes to local sales and export projections showed the company was over-sized for the number of cars it produced.
The Elizabeth workforce will be reduced from 5700 to 4300 employees. The third shift of 1000 positions will be wound down in December and another 400 positions will be cut by mid next year when preparations are complete for the new Commodore. A statement to workers from chairman and managing director Denny Mooney and executive manufacturing director Rod Keane says the third shift, introduced in 2003, is "no longer sustainable".
"To minimise impact, employees in all three shifts in Adelaide are being asked to consider voluntary separation packages," the statement says.
Sales figures released by the Federal Chamber of Automotive Industries show Holden sold 41,673 Commodores between January 1 and the end of July.
This compared with 44,650 during the same period last year.
The company is understood to have informed the Australian Manufacturing Workers Union at 6pm – one hour before car assemblers were handed notices.
AMWU state secretary John Camillo refused to comment last night, but a member of the union executive said: "The writing has been on the wall for some time. Holden is simply building more cars than it is selling.
"But the company is not going to get away with reducing the workforce by 1400."
The union will be fighting for all retrenchments to be the subject of voluntary separation packages with no forced layoffs. The company statement said all employee entitlements were defined and protected under the 2004 enterprise bargaining agreement.
"We will provide a range of benefits for employees choosing to leave, including access to financial and outplacement support, as well as counselling if required."
A worker who contacted The Advertiser last night said management handed the statement to workers about 10pm and were then advised to go home. "There was just a stunned silence when we were told," the employee, who would not be named, said. "I've worked at Holden for over 10 years now and it's not really an option for me to take a separation package. I've got a mortgage to pay and a family to look after."
Taken From www.news.com.au
A statement issued to employees yesterday said changes to local sales and export projections showed the company was over-sized for the number of cars it produced.
The Elizabeth workforce will be reduced from 5700 to 4300 employees. The third shift of 1000 positions will be wound down in December and another 400 positions will be cut by mid next year when preparations are complete for the new Commodore. A statement to workers from chairman and managing director Denny Mooney and executive manufacturing director Rod Keane says the third shift, introduced in 2003, is "no longer sustainable".
"To minimise impact, employees in all three shifts in Adelaide are being asked to consider voluntary separation packages," the statement says.
Sales figures released by the Federal Chamber of Automotive Industries show Holden sold 41,673 Commodores between January 1 and the end of July.
This compared with 44,650 during the same period last year.
The company is understood to have informed the Australian Manufacturing Workers Union at 6pm – one hour before car assemblers were handed notices.
AMWU state secretary John Camillo refused to comment last night, but a member of the union executive said: "The writing has been on the wall for some time. Holden is simply building more cars than it is selling.
"But the company is not going to get away with reducing the workforce by 1400."
The union will be fighting for all retrenchments to be the subject of voluntary separation packages with no forced layoffs. The company statement said all employee entitlements were defined and protected under the 2004 enterprise bargaining agreement.
"We will provide a range of benefits for employees choosing to leave, including access to financial and outplacement support, as well as counselling if required."
A worker who contacted The Advertiser last night said management handed the statement to workers about 10pm and were then advised to go home. "There was just a stunned silence when we were told," the employee, who would not be named, said. "I've worked at Holden for over 10 years now and it's not really an option for me to take a separation package. I've got a mortgage to pay and a family to look after."
Taken From www.news.com.au