Today’s announcement by Paperlinx on the future of the North West’s two paper mills is incredibly disappointing for mill workers and a crushing blow to the local economy, Tasmanian Liberal Senator Richard Colbeck said.

“This is terrible news and I really feel for the workers and their families who have hung on during months of uncertainty only to receive this bad news today,” Senator Colbeck said.

“I recognise the efforts of the workers and also of Jon Ryder who have squeezed every ounce of efficiency out of equipment onsite in an attempt to keep the mills competitive in recent years.

“However, failure by the parent company to invest in the plant over years has contributed significantly to today’s terrible outcome.

“I am pleased redundancies will be funded, but the economic impacts of the Wesley Vale mill’s closure, and potentially the Burnie mill in June 2010, will flow on through the local communities.

“As well as the mill’s direct employees and their families, the demise of these mills will impact on maintenance staff, contractors, transport operators and suppliers.

“Today’s announcement highlights the failures of local member Sid Sidebottom and his Labor Government and their promises to Australia’s paper industry.

“Labor promised an industry strategy development back in March but took four months to get the ball rolling, and it was never concurrent with the company’s own internal review as claimed.

“Industry Minister Kim Carr promised the review by June, but then delayed the reporting date first to October 28, and now to December 16.

“By the time the Rudd Labor Government report is finally ready, it will be too late for paper industry workers on the North West Coast of Tasmania.

“Paperlinx has had to determine the future of these two mills without any of the benefits this strategy group may have offered.

“I said in June that I feared the strategy group would find a much-diminished industry to work with here on the Coast because of the Government procrastination and I am bitterly disappointed that Labor’s leadership deficiencies have cost us local jobs,” Senator Colbeck said.
SENATOR THE HON RICHARD COLBECK Shadow Parliamentary Secretary for Agriculture, Fisheries and Forestry Senator for Tasmania