The Pen is mightier than the sword, but the Pen must sometimes move the sword against corruption if the corrupt are not moved by the pen.. An idea without an implementer is useless. "The Rulers do not carry the sword in vain"Rom 13:4

Thursday, May 23, 2013

Victorian UNIONS CLOSED FORD in Melbourne.

Of course they did!

and here is the reason:

"Our costs are double that of Europe and nearly four times Ford in Asia," Mr Graziano said.

Graziano is Ford President, who continues....

"The business case simply did not stack up, leading us to the conclusion [that] manufacturing is not viable for Ford in Australia in the long-term."

Hmm..now knock me down with a feather...but I'm guessing LABOUR is a big component of... manufacturing cost..it sure as hell is for me...In fact it's so much a 'factor' that when I quoted $2.20 for a particular 'thing'... with that stripping labor cost to the bone... (me doing it, not an employee)... you can imagine how I reacted to find out that the same product is already coming from China at... $0.21 each!   They are using 20k-30k units per month.. but even so.. I know the industry well enough to know that even the parts will cost much more than 21 cents.

But the point is.. Australian labor has become rusted onto this idea that you can keep on demanding more more more wages from big companies and.. it will just magically 'appear'..... of course that IS possible IF.. the governments are so desperate to keep an unprofitable industry going just to keep the skills here and thus provide subsidies... But unfortunately, the unions still keep on demanding more...and they are demanding that 'more' for yours  and my pocket!  Tax Payer subsidies to dead industries is not something that floats my boat.  I don't care if 'all countries do it'... I doubt that the Asian country where Ford has interests are subsidizing that much.. Perhaps lower taxes... but not dishing money out hand over fist 'just' to keep those skills in the country.

Nope.. UNIONS are to blame.. 100% and now they will pay pay pay..because if the estimated  many thousands of knock on jobs losses happen... all those yummy union dues will be...GONE! and I'll be laughing all over the floor. (not about the job losses, only about the self inflicted missing dues)

Last year the Federal Government gave $34million to Ford for production until at least 2016, and this morning Prime Minister Julia Gillard said the subsidy was still needed to keep the plants operating.  She said the Federal and Victorian governments would contribute $39 million to help the Geelong and Broadmeadows communities deal with the job losses, and called on Ford to make its own contribution. (abc)

So.. this is either another grab for cheap donations from the Taxpayers...or..they will seriously close.

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