The latest job losses in South Australia’s automotive industry are sad confirmation of previous warnings about further massive job cuts in the industry, Shadow Treasurer Rob Lucas said today.
Component manufacturer Air International Interior Systems has announced it will close its Golden Grove plant within 18 months with total net job losses of about 350 in South Australia
In the short term, Air International is cutting its Golden Grove workforce of 420 by 70 to 350, and its Edinburgh Park workforce of 400 by 50 to 350 for a total loss of 120 jobs.
However, in the next 12-18 months the Golden Grove plant will close with a further net loss of 230 jobs as 120 jobs will transfer to Edinburgh Park.
“The company says it has suffered a direct impact from the recent production cutback at its largest customer Holden,” Mr Lucas said today.
Other examples of recent cutbacks in the South Australian component industry, some as a result of companies missing out on securing contracts with local manufacturers, include:
• Ion Limited – 600 jobs lost
• Pilkington – up to 120 jobs lost
• TI Automotive – 70 jobs lost and another 50 at risk
• Coopers Standard Automotive – 300 jobs at risk
• Dana Australia – 100 jobs lost
“In August of this year the Liberal Party warned that the cut of 1400 Holden jobs would actually mean a total loss of 2800-4200 direct and indirect jobs in South Australia,” Mr Lucas said.
“The Rann Government has failed to acknowledge the enormous significance our automotive manufacturers have on the strength of the South Australian workforce and the significant ‘flow on’ impacts of the Mitsubishi and Holden cutbacks.
“While Mike Rann is always quick to put a ‘spin’ on any good news of job increases, it is important for him to be open and transparent with the many South Australian workers and their families who feel the effects of any cutbacks in local manufacturing.
“Given the assistance provided to Holden and Ion workers, the Rann Government should indicate immediately whether similar assistance will be provided to the hundreds of impacted Air International workers and their families.”