Holden workers in Adelaide have approved a new enterprise agreement, putting the onus now on Holden to decide if it wants to keep making cars in Adelaide.
Australian Manufacturing Workers Union state secretary John Camillo said the workers had agreed to a three year pay freeze and cuts to other conditions to save Holden $15 million.
“It’s been a very tough time for our members and their families,” an emotional Camillo told media outside the plant this afternoon.
“The workers have made a clear majority vote…we’ll now be calling on the politicians to make their commitments.
“It’s good news at this stage, but we still need the politicians support for co-investment to keep it going for the next generation.”
Without the savings, and without ongoing financial assistance from the federal and state governments, Holden has indicated its local manufacturing operations will close, probably in 2016.
The new agreement does not include the 10 per cent pay cut the company initially called for, though a three per cent increase scheduled for November will be cancelled.
It will also cap redundancy payments for new staff and provide for new shift arrangements.
Camillo said that while some of the changes to workplace conditions at Holden were tough, it was better than having no automotive manufacturing industry in Australia.
Ford, meanwhile, said today it would keep a presence in the local market even though it will close its Australian factories in 2016.
The company revealed its new line of cars at an extravagant presentation on Tuesday at Sydney’s Fox Studios.
Ford Australia and New Zealand CEO Bob Graziano said the launch was to demonstrate the company’s commitment to the two countries.
“What we’ve tried to do is demonstrate the commitment and the level of investment that we’ve made in Australia over the last six years,” Mr Graziano said.
Ford’s decision to end its Australian manufacturing operations will mean the closure of two plants in Victoria and the loss of 1200 jobs.
But Mr Graziano said that about 1100 Ford engineers will continue to work in Australia in its product development centres in 2016 and beyond.
The company’s big bosses including Ford’s global president Alan Mulally made a surprise appearance at the launch to talk about the company’s future.
During the presentation, which reportedly cost $4 million, Ford bosses hinted at soon-to-be launched Ford Mustang but remained vague in the details.
The company will also launch a number of new SUVs, which it says is the top growth market in Australia.
It will also accelerate its new vehicle launches and refresh its entire vehicle line-up in Australia, offering 11 models by 2017.
-with AAP
