Holden will debut its latest imported car today as assembly workers in Adelaide vote on a Labor agreement that could spell the end of the company as a local producer.
The car maker will take the wraps off a compact sports utility model called the Trax, with the Korean-built offroader giving Holden a new entrant in an increasingly important segment of the local car market.
Holden is becoming more reliant on sales of imported vehicles in Australia with demand for its locally-produced models down by 28 per cent so far this year.
About 1700 workers in Adelaide will vote on changes to their enterprise agreement that are designed to save the company about $15 million each year.
Without the savings, and without ongoing financial assistance from the federal and state governments, Holden has indicated its local manufacturing operations will close.
The new agreement does not include the 10 per cent pay cut the company initially called for, though a three per cent increase scheduled for November will be cancelled.
It will also cap redundancy payments for new staff and provide for new shift arrangements.
Australian Manufacturing Workers Union state secretary John Camillo said while most of the savings had been identified in consultation with union shop stewards it was up to each member to make their own decision on whether the revamped agreement was acceptable.
"It's about job security, it's about keeping the auto industry in Australia," he said.
"But what has been lost in some reporting is the fact that this package is conditional on Holden's parent in Detroit guaranteeing they will manufacture the next generation of models at Elizabeth," he said.
A decision on that is not expected until December and after the federal election.
The vote at Holden also comes as rival Ford announces a string of new models it plans to sell in Australia.
The company has already announced plans to stop making cars locally by 2016 but president Bob Graziano will make several announcements on its future operations and vehicle line-up in a special event in Sydney on Tuesday.
