Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Tyre plant closure a wake-up call

June 30, 2006

Tyre plant closure a wake-up call

The likely closure of the Goodyear tyre factory in Upper Hutt with the loss of nearly 500 jobs is a wake-up call for New Zealand to get its manufacturing strategy in order, says the union that represents manufacturing workers.

“We are running out of time,” said Engineering, Printing and Manufacturing Union national secretary Andrew Little.”

“If we don’t get our act together and come up with a coherent and workable plan for the future of manufacturing in New Zealand we will be faced with more factory closures and no new ones opening to replace those jobs, and then who will feed those families?”

Workers at the Goodyear-owned South Pacific Tyres plant (formerly the Dunlop factory) were told this morning that the American-based company was going into consultation with unions over cutting production from seven days a week to five, with the possibility of a full closure in six to eight months.

The company blames a high exchange rate and increased international competition on the domestic market for the move.

Mr Little said that the situation reflected a lack of investment in the plant by successive owners and a focus on low-margin products.

“We don’t want a repeat of the 1990s, when we lost of tens of thousands of jobs in the car and related manufacturing industries without any strategy to replace those jobs.

“It’s not good enough to simply decide that industries aren’t suitable for New Zealand and pull the plug; we have to put some real effort into deciding what industries are suitable, and manage the transition so that workers and their families are not left on the scrapheap.”

The EPMU represents around 60 workers at the Goodyear factory, including electricians, fitters, engineers, technicians and support staff.

The factory opened in around 1950 to supply tyres to the General Motors, Honda and Ford factories, and has employed thousands of people in that time.

Mr Little said that union was now entering discussions with company managers over today’s announcement. EPMU members have a redundancy agreement in place.


© Scoop Media

Business Headlines | Sci-Tech Headlines


I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>


Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>


Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>


Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>


Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>


Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news