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GM boss' Holden comments slammed

15 January, 2015

Claims made earlier in the week by GM boss Stefan Jacoby about Holden's shut-down have received a mix response.

On Tuesday Jacoby told Australian reporters in Detroit closing down operations at its South Australia and Victoria plants was the right move as the automaker was running both places at a loss.

"Manufacturing can prosper"

Former head of the Productivity Commission Bill Scales told reporters Jacoby's comments that Australia was fiscally better off without manufacturing bases were extremely short-sighted.

"Australia is not better off without manufacturing at all," he said.

"Manufacturing can prosper in this country, and in many cases it is."

The 'most sensible' move

Former boss of Holden Australia Mike Devereux said he ardently fought a public battle for more than a year to save Holden's Australian manufacturing operations.

In a statement to local media on Wednesday (14 January), Devereux said: "As I said at the time, we tried every possible way to make the numbers stack up on domestic manufacturing in Australia.

"But in the end, we could not. I said this at the time of the decision.

"As much as everyone regrets the impact this decision has on individuals, it was the right decision."

An Holden insider told reporters Devereux intuitively knew it was the "most sensible" move.

"But Mike's a fighter and Holden got under his skin," the insider said.

"He would not have been like that if he didn't genuinely want to make it work."

Jacoby also issued a statement following Devereux's comments saying GM and Holden "left no stone unturned" and exhausted all measures in an effort to continue Australian operations.

"However it became clear that manufacturing in Australia could not be viable ongoing for our company, as well as the other domestic manufacturers," he said.

"This was the only decision we could take to build a sustainable future for Holden."

Holden boss announces end of manufacturing in Australia by 2017
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Peter Sellers | Friday, January 16, 2015, 3:05 PM
Australian should be proud of the many Australian designed vehicles produced by Holden ,Toyota and Ford specificly suited to our tough environment. They should be congratulated despite the uphill battle they endured maintaining production here . They were wrongly nvillified for being subsidized when the reality was the Aussie Dollar was overvalued for decades and thereby subsiding imports by an RBA dominated by importers and those with a long history favouring a high dollar to flood the country with effectively subsidized imports in industry after industry. The irony was the workers own party supported the high dollar which undermined job after job in Manufacturing .With the overvalued dollar German made vehicles flooding the market were cheaper than local made cars and their advertising was almost limitless It is not to late to encourage these car manufacturers to reassess moving billions in capital out of the country - in a free market they and we should have the access to the cheapest energy in the world ,the cheapest metal resources ,a skilled workforce supplemented with sophisticated robotics which works for the same cost here as in Thailand. The dollar settings comtrolled by RBA settings of interest rates ,money supply and currency trading are what will determine whats left of our our manufacturing fututre. Why are there no exporters on the RBA? - therein are the keys to the kingdom.