The government should intervene in the sale of Murray Goulburn’s Edith Creek dairy processing facility to ensure its 120 workers have some security about their future, the National Union of Workers has said.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Assistant branch secretary Godfrey Moase said jobs could be lost because of how long Murray Goulburn is taking to negotiate the sale of its Edith Creek plant, which is due to close in 10 days.
Mr Moase called for the government to step in and mediate the sale and consider threatening Murray Goulburn with compulsory acquisition of the site to help speed up the sales process.
“We want to see that transaction happen sooner rather than later because workers deserve to walk out on (the planned closure date) November 30 with a sense of security,” Mr Moase said.
“If there’s a market failure, if Murray Goulburn can’t sort out the sale of the factory, then there’s a role for the government to step in and show leadership.”
Mr Moase said compulsory acquisition should be a last resort and only a temporary solution.
“Ultimately what we want to see is the sale of the factory to a new owner who will provide quality jobs and operate the factory,” he said.
A Murray Goulburn spokesperson said the sales process for the Edith Creek plant was “well advanced” when asked whether a deal would be finalised before the closure of the site on November 30.
UNION ‘POLITICIZING’ ISSUE
Braddon MHA Joan Rylah said she was disappointed the National Union of Workers was trying to politicize the issue.
“The government is already working closely with all relevant parties to try and secure a positive outcome,” she said.
“MG have advised that the sale of Edith Creek is continuing to progress and MG retains the right to sell the facility.”
Mrs Rylah is chair of the Circular Head Regional Economic Development Working Group, which was established to respond to the impending closure of the Edith Creek plant.
Mrs Rylah pointed to the group and a $1.5 million stimulus package as evidence of the quick action the government had taken to support the Circular Head community.
“The ‘Murray Goulburn Jobs and Future Options Showcase’ was one of several initiatives supported by the working group funding, with 27 registered exhibitors representing a diverse range of sectors attending, and a grand total of 33 jobs immediately available for applications at the showcase, meaning workers had the opportunity to directly interact with employers,” she said.
GOVERNMENT OWNERSHIP ‘NOT IN OUR BEST INTERESTS’
Circular Head mayor Daryl Quilliam said government ownership of the Edith Creek plant wasn’t in the best interests of workers or the dairy industry.
“The government has never been involved in a dairy factory,” Cr Quilliam said.
“The dairy industry is better to be owned by companies or it can be owned by farmers through a cooperative.”
Cr Quilliam was, however, supportive of the government helping to mediate the sales process.
“My understanding is that they are doing it now,” he said.
Cr Quilliam said the sale of Edith Creek was “long overdue”.
“I was hoping we would’ve known before now about a sale and it’ll be sad at the end of the month if they (workers) have got no security with what’s happening with the factory,” he said.
“I’m pretty confident that by the end of the week we’ll have a better idea of what’s happening.”
Cr Quilliams said local businesses and government amenities would be impacted if Edith Creek workers and their families moved out of the region because they lost their jobs.
The National Union of Workers recently finalised a redundancy deal for the workers at Edith Creek, which increased their entitlements payment by $4000.