News has broken that General Motors Holden has announced a staff meeting today at Holden’s Elizabeth plant, where it is rumoured the company may seek to cut pay or axe jobs:
Employees at Holden’s Elizabeth plant have been called to a meeting at 1-30 this afternoon.
The carmaker remains tightlipped about what they’ll be told but says CEO Mike Deveraux will address staff and then the media.
There has been media speculation this week about possible pay cuts for workers
There has been increasing concern about the future of the cargiant in the wake of Ford’s closure announcement
Holden says it won’t survive without continuing support from the state and federal government.
Last month, it was revealed that sales of the Commodore series had weakened significantly as consumers shifted towards SUVs and imported vehicles, and governments reduced fleet purchases:
Just 8500 Australian cars were sold in April, a decrease of 16 per cent compared to the same period in 2012, despite there being three more selling days in the month than last year.
Holden sales took the biggest hit, falling 24.5 per cent. Year-to-date sales of Holdens were 26 per cent lower than in April 2012.
A high Australian dollar and weaker government spending is hurting demand for locally made cars.
The single biggest contributor to the weakness in total vehicle sales was the government sector. In the first four months of 2012 it bought 17,000 vehicles, but in 2013 as purse strings tightened at state and federal level, the number was 12,500…
The worst performing car in the segment was the Holden Commodore. Its sales fell from 10,600 in the first four months 2012 to 6500 in the same period this year.
More to follow…
