Ford will make 240 workers redundant due to plummeting demand for its cars in Australia.
The company cited ‘commercial decisions’ for the move, claiming it needs to ‘re-balance its operations to meet the demands of the market’.
Just last month, Ford halted Victorian production of its Falcon Territory and SUV models due to decreased demand. The Broadmeadows assembly plant and Geelong casting and engine plants were both closed for two days per week until the end of March.
The company had announced it would re-open production to previous levels at the beginning of April, however 240 workers will now lose their jobs.
The new is bad for Australia’s automotive industry, which has been retracting seriously for the past 10 years due to cheaper imports, lack in industry collaboration, and changing government agendas.
“The Government is very concerned at any job losses in manufacturing, and especially concerned at job losses in Australia’s automotive manufacturing industry,” said Innovation Minister, Senator Kim Carr in a media statement tonight.
Ford is offering voluntary redundancies to its employees initially. Workers will be redeployed where possible.
According to Senator Carr, workers will also be able to take advantage of the labour adjustment component of the Government’s Automotive Industry Structural Adjustment Program, which is designed to help fast track them back into the workforce and assist with retraining and other support and assistance.
Next month, Ford will launch an all new Territory model, including for the first time, a diesel version of that vehicle.
In a few months time, Ford will also launch a new LPG model – the LPI or Liquid Phase Injection Falcon – as reported on Manmonthly.com.au last month.
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