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Ford Job Losses

Friday, June 28, 2013

Ford has announced that another 440 jobs will be cut by November this year. Australia has seen successive governments both Labor and Liberal slash tariffs (tariff is a tax or duty to be paid on a particular class of import or export) in support of free trade and globalisation, apparently for the good of the country, One Nation disagree.

Other car manufacturers around the world are struggling, yet some have support from their government protecting the industry by way of tariffs placed on imports, or tax relief. Japan has employed myraid non-tariff barriers to make foreign market entry into Japan's auto sector unviable. The US has subsidised in the form of sales tax relief and even car purchase partial tax deductibility.

Gillard "cash-for-clunkers" scheme disappear without a trace and the Gillard Labor government solution of propping up the company with another $34Million promised to the already $103Million rescue package for Fords Victorian assembly plant, is only a band-aid solution and the company is closing its doors in 2016.

As the Federation of Automotive Product notes, the automotive components industry which hosts both local and international firms, provides 45,000 jobs, some 5% of national manufacturing employment with almost $49Billion in turnover. Indirectly the job head count this industry supports is even higher.

We cannot let Australia’s domestic car industry close or downsize. If that were to happen Broadmeadows, Fisherman’s Bend, Geelong, Dandenong and Elizabeth (SA) would become ghost towns. 510 Jobs will be lost at Geelong and 650 at Broadmeadows. Government assistance must aim at focusing on local supply and not shifting overseas.

All Australians must get behind Ford to protect another Australian industry that is hanging by its fingernails. It is paramount due to the number of Australians directly and indirectly employed in the car industry.

Labor Minister Greg Combet said, "and increase of 8,000-10,000 cars a year would help the industry greatly".
More importantly we need to maintain the industry for the long term.
The Government can if they encourage Australians to buy locally made cars 

HOW?

  • give a rebate of $5,000 to Australians at point of sale, when purchasing an Australian made car

  • get rid of the carbon tax

  • all government vehicles must be Australian made

The car industry has received $500Million worth of assistance each year since 2001, this is not a solution and unsustainable.  

 

 

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