Melb shipyard axes 125 jobs, more could go

Shipbuilder BAE Systems will cut 125 jobs at its Melbourne shipyard, with the company citing a continuing decline in work.

Another 125 jobs have gone from a Melbourne shipyard, and there are fears more will follow as Defence contracts dry up.

BAE Systems is cutting 125 jobs from its Williamstown shipyard as projects come to an end.

Since the HMAS Canberra was delivered in October 2014 the shipbuilding workforce at Williamstown has been reduced by close to 500 people.

"Today's announcement brings the total reductions to approximately 600," a BAE statement said on Wednesday.

Premier Daniel Andrews said the government would support workers who had lost their jobs, but he feared for the hundreds of workers still on the site.

"My fear of course is that whilst it's 125 today, it'll be more in weeks and months ahead," Mr Andrews told reporters.

"I think there are grave fears for the future of BAE's operations in Melbourne and therefore the Williamstown shipyard."

BAE welcomed the federal government's decision to announce a continuous ship-building program from 2018, but most of the work will be in Adelaide, and has come too late to save the jobs.

All ship-building work at Williamstown is expected to finish in early 2016.

Defence Minister Kevin Andrews said the federal government is disappointed by the decision, but has no control over the commercial decisions of companies such as BAE.

"The government was disappointed that BAE Williamstown didn't tender for the Pacific Patrol Boats, despite previously announcing that they would," Mr Andrews said.

"Had BAE successfully bid for this tender, it would have meant greater certainty for BAE's workers."

BAE's Australian maritime director Bill Saltzer said the company would talk to the federal government about the implications of the continuous ship-building program.

"Today's announcement is necessary because we are a project-based business and our employee numbers must match the needs and status of our ongoing and upcoming projects," he said.

In a statement, Labor defence spokesman Stephen Conroy says about 1000 shipbuilding jobs have been lost in South Australia, Victoria and NSW, including 600 at BAE in Williamstown.

"Further devastating job losses can still be avoided. The Abbott government must listen to the experts and commit to a viable, long-term plan for Australia's strategically vital naval shipbuilding industry across all existing sites," he said.


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Source: AAP


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