Manufacturing News

Arrium woes play a part in motel liquidation

Arrium’s difficulties have played a significant part in the liquidation of a hospitality business in Whyalla, according to the business’s owner.

The ABC and others report that the Foreshore Motor Inn cut five full-time and 17 casual jobs as it went into liquidation. The inn has a 40-room motel and a bistro, the Waters Edge Restaurant.

Owner Ben Vandeleur told The Advertiser that the decision was enormously difficult to make, and there had been a steep drop-off in business travel and spending by companies.

“Two years ago we provided around 800 nights a year for Arrium employees and guests. In the past six months, we’ve had maybe 50,” he toldThe Advertiser.

“Realising the gravity of our situation, we made the choice to cease trading so we did not leave a trail of destruction like Arrium. We’re not sure if we’re going to lose our house.”

Steel and iron ore business Arrium entered voluntary administration last month. Its Whyalla steelworks, with around 3,000 workers, is the city’s major employer.

Leave a Reply

Send this to a friend