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OT: Current Affairs and Politics

Gronk

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That depends on your political bias I guess.

"American owned company withdrawing from Australia due to costs" doesn't generate as much smugness

That's not exactly the full story. GM & Ford were receiving subsidies (in various forms) to assist with the manufacturing costs for years and years up to Gillard / Rudd. When LNP won the election Abbott said that they were ideologically against propping up companies just for jobs. So they all transitioned to close. Ford ended in 2016.

At the time the plants were located in Vic and SA. Both were labor held states.
 

Gary Gutful

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To what degree do you think the unions contributed to Holden's unsustainable business model in Australia?
 

Gary Gutful

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That's not exactly the full story. GM & Ford were receiving subsidies (in various forms) to assist with the manufacturing costs for years and years up to Gillard / Rudd. When LNP won the election Abbott said that they were ideologically against propping up companies just for jobs. So they all transitioned to close. Ford ended in 2016.

At the time the plants were located in Vic and SA. Both were labor held states.
Governments shouldn't be propping up poorly performing businesses in the interests of protecting votes.

Its shit, just like the recent dodgy sports grants by the current government. Pork barelling at the expense of the rest of the country.
 

Poupou Escobar

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It's a nice indicator of our quality of life here that some industries can't afford to give jobs to Australians. Those unemployed people must be stoked at how well we're going.
 

Gronk

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To what degree do you think the unions contributed to Holden's unsustainable business model in Australia?
I'm glad you asked. The reason why Toyota et al closed their doors was because it was impossible to build a competitive vehicle in this country because of labour costs etc.

So indeed the closure was inevitable. The outcry at the time was that we would have mass unemployment in the sector and closures of small to medium industries that supply parts.

Instead there was no spike and the transition was measured and successful.

https://www.smh.com.au/business/the...akers-closed-their-doors-20190613-p51xdl.html

Indeed it was a perfect case study of how workers in a redundant industry can retool and gain alternative employment. Which makes the paranoid protectionism of the coal jobs by LNP factions ridiculous.
 

Eelogical

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22,498
Governments shouldn't be propping up poorly performing businesses in the interests of protecting votes.

Its shit, just like the recent dodgy sports grants by the current government. Pork barelling at the expense of the rest of the country.
I'm glad you used the plural form of 'government' in your first statement as it applies to probably every car manufacturing country in the world. Several factors for me that led to Holden's downfall. First mistake, they didn't see the market shift to SUV's early enough, and when they did they relied on their second mistake, rebadged sus Daewoo products from their Korean subsidiary. Quality issues and poor customer service contributed to the mix. They didn't help themselves by continuing the Commodore name onto the ZB import. That was never going to end up well with the rusted on Holden boys.
On top of that, union demands and the parent GM company in the USA were the straw that broke the camel's back. A whole bunch of other factor as well.
 

Chipmunk

Coach
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16,244
GM also announced the closure of a manufacturing facility in Thailand today. I doubt that was because of labour costs.

Apparently they're no longer interested in building right hand drive vehicles.
 

Eelogical

Referee
Messages
22,498
GM also announced the closure of a manufacturing facility in Thailand today. I doubt that was because of labour costs.

Apparently they're no longer interested in building right hand drive vehicles.
World market is approximately 75% LHD, 25% RHD. GM see the LHD market as their bread and butter going forward. Once we stopped manufacturing RHD cars here for the OZ & NZ market it was just another nail in the coffin as far as the parent company in the USA were concerned. They were already pulling back their RHD products in other countries, anyway.
 

Gary Gutful

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I'm glad you asked. The reason why Toyota et al closed their doors was because it was impossible to build a competitive vehicle in this country because of labour costs etc.

So indeed the closure was inevitable. The outcry at the time was that we would have mass unemployment in the sector and closures of small to medium industries that supply parts.

Instead there was no spike and the transition was measured and successful.

https://www.smh.com.au/business/the...akers-closed-their-doors-20190613-p51xdl.html

Indeed it was a perfect case study of how workers in a redundant industry can retool and gain alternative employment. Which makes the paranoid protectionism of the coal jobs by LNP factions ridiculous.
I agree with this.

Thermal coal is dead and we need to move quickly to other energy sources. These new industries will provide great opportunities for those workers.

That said, I would like to see us make the distinction between thermal and metallurgical coal. Met coal has a much longer life and it would be irresponsible not to continue to mine the cleanest and best deposits in the world during a period of transition to a decarbonised world.
 

Gary Gutful

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I'm glad you used the plural form of 'government' in your first statement as it applies to probably every car manufacturing country in the world. Several factors for me that led to Holden's downfall. First mistake, they didn't see the market shift to SUV's early enough, and when they did they relied on their second mistake, rebadged sus Daewoo products from their Korean subsidiary. Quality issues and poor customer service contributed to the mix. They didn't help themselves by continuing the Commodore name onto the ZB import. That was never going to end up well with the rusted on Holden boys.
On top of that, union demands and the parent GM company in the USA were the straw that broke the camel's back. A whole bunch of other factor as well.
Well said, Eelo. Can't argue with any of that.
 
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