Aussie car industry denies warning govt
Claims about auto industry's "stressed global parents" are wrong: FCAIThe car manufacturing industry has denied warning the federal government that the viability of two or three manufacturers in Australia is in doubt.
The Federal Chamber of Automotive Industries (FCAI) has also denied saying the future of their industry was in trouble.
The denials came after an article in The Australian newspaper said Toyota, Mitsubishi and GM Holden had warned the government last month that head offices in Tokyo and Detroit were under financial pressure and reluctant to commit more investment into Australia.
The article, citing a confidential submission from the Department of Cabinet and Prime Minister, said the carmakers feared worsening conditions under a Rudd Labor government, due to pattern wage bargaining and union militancy.
The newspaper said the document warned the "stressed global parents" of the manufacturers could oversee the exit of Mitsubishi from Adelaide with serious questions over Ford operations in Geelong and Broadmeadows.
"These claims and other claims made in the article about the industry's representations to government are wrong," FCAI chief executive Andrew McKellar said in the statement.
"No such letter exists, nor has there been any industry discussion on industrial relations matters as suggested in The Australian's story.
"Vehicle manufacturers have built a constructive relationship with their employees and it is essential that this remains the case."
Source: AAP 2007
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