Ion Automotive to sack 400 staff

[DRU842]

Tuesday March 29, 2005, 6:53 pm

Four hundred workers at car parts maker Ion Automotive's plant at Wingfield in South Australia have been told they are about to lose their jobs.

The troubled company's administrators say they cannot sell the Wingfield plant as a going concern and they are winding it down.

The administrators blame the flawed expectations and massive cost overruns of the previous management for the closure.

The Wingfield plant employs 150 permanent staff and 250 casuals.

The administrator says employee entitlements are secure.

SA Industry Minister Paul Holloway says today's announcement is unfortunate and the Government will continue to work to find a buyer for the Wingfield site.

The Australian Workers Union says today is a dark day for manufacturing in South Australia.

Branch organiser Peter Lamps is calling for the State Government to step in and make sure Ion's North Plympton and Kilkenny plants do not suffer the same fate.

"The State Government actually needs to roll up its sleeves and show a tangible effort rather than just talking with the administrators and talking to people," Mr Lamps said

http://au.biz.yahoo.com/050329/31/3vw5.html

Can't be good news for the industry & what about the other plants?

[b2tf]

Certainly have to feel for them, it s a real shame, but from what ive read, the demis of the ion group as a whole looks like a case of 'when', not 'if'. I dare say some of the workers at Albury (formerly BTR) will be a bit nervous now.

Apparently ion wont be getting the contract again from Ford after it runs out in 2006/7. Which is kinda good cos it means its quite possible a 5 or 6 speed auto will come into play.

What do they (ION) actually make?

[GT 8888]

Originally Posted by Zoltan von Bujdoss

What do they (ION) actually make?

Also operate the Castalloy factory in Adelaide where ROH wheels are made and they also make a large % of the wheels for Harley Davidson.

[EA2BA]

ION automotive is a automotive industry group

ION make the majority of gearboxes for Ford and a few others

The plant in question was to make engines fro holden at one stage.

P.S. Albury were working on a prototype 6 speed auto AFIK.

[DRU842]

GMH had lent on Ion bigtime to build a new plant at Altona (Vic), to cast the V6 blocks & heads. Ground has been broken but all work is stopped. There is no existing facility in Australia to cast alloy blocks for Ford or GMH.