650 Holden jobs to go

[QualityCounts]

http://www.news.com.au/adelaidenow/s...006301,00.html

[Polyal]

Thats very odd if true, they are going to be exporting more than ever aswell....

[Dave_au]

Technology is the cause:

Originally Posted by Australian Newspaper

Holden to sack 600 from Adelaide plant

* Brad Norington
* March 05, 2007

MORE than 600 workers at Holden's Elizabeth car manufacturing plant in South Australia will lose their jobs as the company adjusts to improved high technology automated operations by shedding labour.

The Australian understands workers will be given voluntary redundancies, with the Federal and South Australian governments expected to offer retraining and other assistance to those left unemployed.

The job cuts represents 13 per cent of the 4500 workforce at the Elizabeth plant, which has been promoted by Holden as one of the most flexible and efficient operations in the world.

Holden's Elizabeth plant is the principal manufacturer of the Commondore, but produces a range of passenger and commercial vehicles for domestic and export markets.

Big job cuts come at a sensitive time for the company as it is about to start production of a new range of Commodore utes and station wagons.

They also come at a politically sensitive time for the Howard government with two marginal Liberal seats in the area that could be under threat in an election year.

The Elizabeth plant is located in Wakefield, held by David Fawcett with a 0.7 per cent seat margin, while most workers live in nearby Makin, held by Trish Draper with a 1 per cent swing needed to fall to Labor.

Senior sources indicated yesterday that the Holden workers were largely victims of their own success as the Elizabeth plant moved to a more efficient hi-tech assembly line.

Another factor affecting car manufacturers worldwide is the move by consumers to smaller cars in response to higher petrol prices.

Holden has prided itself on investment in plant and technology to achieve "rigorous cost, quality and volume objectives."

It insists the multi-skilled workforce at Elizabeth is committed to continuous improvement of quality standards by developing more efficient means of production and process control.

Holden confirmed its decision to "reduce the workforce size of South Australian operations" with an official announcement at 3:30 pm (SA time).

It is understood that the State government of South Australian premier Mike Rann was not given advance notice of the job losses.

[Fordman1]

Holden are in trouble too....

The official spin for the loses will be about automation, productivity, etc.

However, I hear they are having 'idle days' in the next month or so also.

Things are not looking good for the Aussie manufacturers - especially Ford & Holden.

Feb sales for the Commodore were 5,500 vs about 3000 for Falcon. Commodore needs to keep selling that number (plus some) for the rest of the year to at least cover the investment.

[Outbackjack]

This sad news, but should not come as a surprise. Australian manafacturers are doing it really tough. Things will only get worse. What has not been made public yet is how many of these jobs will re-appear in China. For the last 25 years Australian Governments have totally under estimated the net worth of a strong Australian manafacturing sector. Another 10 years and the whole industry will be a thing of the past.

It will be interesting to see what happens at Ford in the next year or two. Perhaps scaling back when they did was a smart business descision.

[jarridtheruler]

Its sad that these things happen. But it will become more common in the future

[awsome4.0]

Its true but i think its 600 heard it on the news

[Fordman1]

Originally Posted by awsome4.0

Its true but i think its 600 heard it on the news

What ?

I'm dumb and I don't understand................

Edit: I get it now... he, he.

600 jobs to go.........Blush

[needaXYGT]

i heard it was 600 as well?

[Nashy86]

Isn't this the 3rd time they've done this in the last 2 years? Late 2005, 2006 and now early 2007? Or am I completely wrong on this?

[crYnOid]

While it is sad that 650 people have lost their jobs I can completely understand why this is happening. This sums it up...

Despite the cuts, Mr Keane said the plant would be running at full capacity by late this year, producing 620 vehicles each day.

But he said the remaining workforce of 3,450 would be sufficient to maintain those production levels.

Why should Holden keep 650 people on if they don't have the work for them due to automation with their new systems?

Who I work for are in the same position ATM. In a few weeks time the labour intensive work we have been doing will end, and the other guys I have had working with me for 5 months will find very little work coming. 8 guys trying to do the job of 1 just doesn't make sense.

[[Tonko]]

2000 lost jobs in 3 years apparently....

[Smoke Pursuit]

Yes yet australians continue to keep buying imported piece of crap!

The only reasons Ford and Holden have survived this long is thanks to the government and fleet companies buying their cars, if they had to rely on mums and dads for support they would have went broke along time ago! Its time import tarrifs on cars went up and Australian made cars were made more affordable because at the end of the day they are VERY VERY well engineered!

[Pedro]

Originally Posted by LSTerritoryGhia

Yes yet australians continue to keep buying imported piece of crap!
The only reasons Ford and Holden have survived this long is thanks to the government and fleet companies buying their cars, if they had to rely on mums and dads for support they would have went broke along time ago! Its time import tarrifs on cars went up and Australian made cars were made more affordable because at the end of the day they are VERY VERY well engineered!

I don't agree with your statement that "imported" cars are crap. Perhaps you should have qualified that to say some (Korean mainly) are crap.
As you say, the Government and fleets have kept them alive, but the Government can't be expected to prop them up forever and fleets are finding that they get better resale value from other makes.

The Government just got taken for a ride by Holden, investing hundreds of millions in the VE, then got kicked in the face with this latest 600 job lay-off. Don't tell me Holden didn't know in advance that their new manufacturing technology (partly paid for by the Govt.) would result in needing less labour.

[benoxr]

Holdens did close a third shift, the night shift, last year I think.
There are calls for the Fed Govt to delay the next import tariff reduction due in 2010 until 2015 but I dont see that happenning. Both Labour and Liberal recognise there is a shift in the type of industry in Aust and car manufacturing is on the way out IMO. It was said that Aust. made cars will NEVER be able to compete in price so that to me translates to Ford, Holden & Mitsi's finding it real hard to compete with imports and provide the average car for the average family. I thought Holden's were doing better with their exports so why the reduction in workforce? Maybe GM want to do the same as Ford US and produce cars only for the global market not local specific, and produce them all from either the US or China?
Whatever happens, its not looking good for blue collar workers, they dont all want to move off to mining jobs but what else do they do?

[benoxr]

The Government just got taken for a ride by Holden, investing hundreds of millions in the VE, then got kicked in the face with this latest 600 job lay-off. Don't tell me Holden didn't know in advance that their new manufacturing technology (partly paid for by the Govt.) would result in needing less labour.

The State Govt did help Holdens out in the last few years (as they did with Mitsi's) with a donation of $3.4m. But it doesnt seem as though the Govt provided that money with a 'clawback provision' which means if Holdens shed labour as they are doing now, Holdens would have to pay a proportion of that money back. Yeah, you cant tell me the govt hasnt known for a long time that the car manufacturers in Oz were going to shed labor. They accept it will happen and it is.

[GTpilot]

My boss ordered a SSV in mid November, He ordered it with sunroof so It had to be specially made and sunroof done on the line. He was told 6 weeks. Mid Jan he chased it up as he had not heard anything. They told him Holden has halted production on models with SATNAV as there was some issue with it, BUT, he could order it with out and have the exact same unit fitted by the dealer no problem...Go figure!!!
He agreed to that and re-ordered w/out the satnav. again was told 6 weeks. He called them again last week as he had not heard anything back from the dealer and was told that holden has closed the production line temporarily due to lack of new orders and an excess of stock. no ETA as yet.

[new2ford]

Originally Posted by Pedro

I don't agree with your statement that "imported" cars are crap. Perhaps you should have qualified that to say some (Korean mainly) are crap.

By "crap" I don't think LSTerritoryGhia is referring to the quality of manufacture. The point actually is most of the Asian originated cars (including Japanese) have very low DESIGN standards - poor driving dynamics and poor ergonomics. Also in most cases poor PRIMARY safety (refer Wheels WASP tests). They have no incentive to improve these things because most mug buyers place more value on the "tinsel" (sunroofs, trim, extras etc etc etc). When Ford (in particular) folds it in, Australian buyers will be deprived of quality (and safe) design unless they change over to European cars. This is the fact staring us in the face. Most Australians couldn't care less about the loss of Australian jobs until the day comes when its theirs that's lost also, as a result.

[jarridtheruler]

for the price, falcons and commodores are very good cars. It would be a shame to see them disappear.

[4.9 EF Futura]

Originally Posted by Outbackjack

This sad news, but should not come as a surprise. Australian manafacturers are doing it really tough. Things will only get worse. What has not been made public yet is how many of these jobs will re-appear in China. For the last 25 years Australian Governments have totally under estimated the net worth of a strong Australian manafacturing sector. Another 10 years and the whole industry will be a thing of the past.

Considering the massive amounts of money that both state/federal, labor/coalition governments have controbuted to australian car manufacturing operations (particualrly here in SA, i assume similar in other relevant states) i do not see how one comes to the conclusion that the value of this particular industry has been underestimated by anyone.

Indeed anyone familiar with South Australian history, particularly the Northern metro areas, would know how important General Motors has been to our state.

But certainly see your point re: offshoring. This is appears to be an industry which lends itself to some form of preproduction at another site prior to final assembly. I would not be suprised if there was something ELSE on top of new wizz bang machinery contributing to this increased productivity.

For the record, based on Holden's figures. Holden are moving to 620 vehicles per day. Whilst lower than the peak 835/day in 2004, this is reasonably higher than the 392/day back in 1997. A 58% increase in production over a 10 year period.

Whilst no one could possibly wish redundancy on these 600 people, the prospect of a leaner operation, utilising improved technology puts the remaining 3900 workers in better stead and that is a backhanded positive.

People are buying smaller cars. Local manufacturers continue to produce large cars as their bread and butter. You cant blame the government or the people of australia for that.

The argument that you couldnt possibly lug the family around in anything smaller than 1800kg w/ 4L displacement engines is being abandoned as the ridiculous notion that it is.

Most Australians couldn't care less about the loss of Australian jobs until the day comes when its theirs that's lost also, as a result.

My friend that is an insult to most Australians. Speak for yourself.

[Fordman1]

Originally Posted by Outbackjack

This sad news, but should not come as a surprise. Australian manafacturers are doing it really tough. Things will only get worse. What has not been made public yet is how many of these jobs will re-appear in China.

This is the most competitive market in the world.

Lets put things into perspective guys.

1. We are a nation of 20 Million.

2. Our Auto manufacturers are competing against importer nations that have 10 or more times (and if China start exporting to Oz 50 times) that population to support their Manufacturers.

3. Our manufactuers do a SUPERB job with their TINY resources in producing great products in Falcon and Commodore.


Yeah Ford and Holden need to stand up and be counted as far as quality and cost is concerned, but they are seriously "Under the Pump" .

The current situation is VERY serious............