Tasmanian Times

Economy

Jobs on the line

RACHEL WILLIAMS, Examiner

ACL Bearing Co could slip into insolvency within days if it can not come to agreement with the State Government over the conditions on a $4 million loan. The Government has promised the assistance on the condition that ACL’s directors give personal guarantees. But ACL’s directors yesterday confirmed they were only willing to put their share of the business as a guarantee. The situation has again placed the future of more than 270 workers at the Rocherlea-based company in jeopardy. Read more here

AND

Economy on the brink
22 jobs go, pulp mill panellists including a forestry union boss get $657 a day …

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2 Comments

2 Comments

  1. Shirley Glen of West Tamar

    June 25, 2009 at 2:29 am

    ACL is much more important to us than a stinky pulp mill, with approximately the same number of direct jobs involved. Except ACL is already up and running, and has a proven track record. I have no faith in Gunns being able to deliver the same benefits to the community but I live in fear and dread at what they will cost the community in every way ie health, lifestyle, economically, environmentally – the list is endless. But Labor won’t help ACL, just wants to support Gunns. I no longer buy at Gunns. And I won’t vote Labor in March.

  2. Steve

    June 23, 2009 at 1:54 pm

    Actually there’s a lot more than jobs on the line. ACL is a major trainer of apprentices. They are also a good customer to many local firms. The flow on effects are considerable.
    They have four plants full of machinery which they use to produce products sold world wide. If they go the wall, and these plants get broken up, this manufacturing ability will be lost to Australia for ever. ACL has established these plants over many years and in happier economic times. No-one could afford to rebuild them. What country allows this sort of infrastructure to be lost?
    Meanwhile the State government attempts to weasel out of the commitment they made to match the Federal government $ for $. ACL is requesting a loan (at over 9%), not a handout. Bit different from forestry who appear to benefit from endless taxpayer cash.
    I also wonder at Aird standing up yesterday and accusing ACL’s directors of pulling out millions in dividends over the last few years. Ivan James was then reported as saying that the last dividend was in 2006. Surely these things can be easily checked? On the face of it, it appears Aird was deliberately distorting the facts to destroy public sympathy for ACL. He should be held to account for this.

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