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GM Holden Slows South Australian Production

Posted: September 29th, 2012 | Author: | Filed under: Auto Maker, Auto News, General Motors, Holden | Tags: , , , , , , , , | Comments Off on GM Holden Slows South Australian Production

GM Holden Slows ProductionAustralia’s General Motors Holden is shutting down assembly lines at its Elizabeth plant in Adelaide for short periods between now and Christmas. The company will impose what it’s calling Market Response Days to reduce production and rationalise costs in response to lower sales of it’s locally manufactured vehicles.

GM Holden’s corporate affairs manager Sean Poppitt said employees would be told to stay home during the shutdown. He said they could opt to take long service or holiday leave if they wanted more pay during the period. “Employees who aren’t required to work are on 60 per cent pay,” Mr Poppitt said. “We do understand that these kind of decisions, we don’t take them lightly and we do understand that there is an effect on our employees, so we’ve worked really closely with the unions to identify the best days and everyone’s been informed.”

Mr Poppitt said GM Holden needs to be flexible to deal with Australia’s fluctuating demand and pointed out that Australia is the most competitive marketplace in the world.  “I don’t think it’s any secret that it’s a very tough environment to be working in, sales probably aren’t where we’d love them to be, it’s really crucial that we’re able to take this kind of measures and implement Market Response Days.” He added that he  believed the majority of the workforce understood the company’s position

The companys Market Response Days represent less than 4 per cent of GM Holden’s total production for 2012 and are a common measure for aligning production with demand in a competitive marketplace. “It is crucial for the long-term health of Holden manufacturing that we are able to stay lean and respond to the market.” Mr Poppitt said.

 


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