A major Australian union is citing “negligence” of the Federal Government as a major reason behind Toyota’s decision to end manufacturing in 2017.
The Australian Manufacturing Workers’ Union (AMWU) is estimating anywhere up to 100,000 jobs could be at risk following Toyota’s announcement it was joining Ford and Holden in exiting production in the country.
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Toyota is to cease manufacturing in Australia by the end of 2017, but the AMWU is warning of severe consequences, not just for vehicle production but also down the supply chain as the cumulative effect of manufacturing drawdown impacts on the industry.
“Tony Abbott will go down in history as the [Prime Minister] who cost Australia its car industry and changed this nation for the worse,” said AMWU national secretary, Paul Bastian.
“The tragedy is that it didn’t have to be this way.
“The high dollar, the fragmented market and high local costs could have been overcome if Tony Abbott had sat down with car companies and planned co-investment – instead of pulling A$500m (US$451m) support from the Automotive Transformation Scheme and antagonising everyone.”
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By GlobalDataAMWU delegates and officials met Toyota management within 24 hours of the closure announcement to discuss security of production to 2017 and all outstanding enterprise bargaining issues.
“We desperately need leadership – a fresh manufacturing plan to help us look after thousands of members whose jobs will go as the devastating impact flows through the components industry,” said Bastian.
Following Toyota’s announcement, Abbott said: “This is obviously devastating news for everyone involved with Toyota. It’s devastating for me and for the Government.
“They [Toyota] said they have had nothing but help and encouragement from successive Australian governments, including this one.”
