Link : http://www.theaustralian.news.com.au/busin...0-23349,00.html
QUOTE ('The Australian')
Boeing To Lay Off 200 Workers At NSW Base
Mark Dodd | October 24, 2008
BOEING is to lay off 200 workers at Williamtown air base in NSW after failing to win a federal Government Hornet jet fighter contract.
It follows the selection of Britain-based BAE Systems and Canadian L3-MAS as preferred tenderer for the F/A-18 Hornet maintenance and modification contract.
Boeing's Australian spokesman, Ken Morton, confirmed that about 200 aeronautical workers at the base near Newcastle would have to be stood down, but said prospects were good for a large portion to be re-employed.
"It is true. We were bidding for a follow-on contract for maintenance for the classic Hornet and we were unsuccessful," he said.
In a separate statement, Boeing said it remained fully committed to executing all of its current commonwealth contracts, including the current F/A-18 contract, which ends on November 30.
"Furthur discussions will need to occur with BAE before we know exactly how many Boeing employees will be out of a job," the statement said. "But we have committed to working with BAE, the preferred tenderer, to assist our staff to find suitable employment, if this is what they chose.
"All employees not reassigned to other jobs within Boeing will be offered a redundancy."
Defence procurement secretary Greg Combet said the decision to lay off workers as Christmas approached was regrettable.
"There will be no change in the amount of work planned for Williamtown as a result of the new contract," Mr Combet said.
"Although, there will be some work force reductions due to the planned decrease in Hornet modifications activities, all work currently performed at Williamtown will remain at the Williamtown site."
It is understood the final contract negotiations are due to be announced at the end of the year.
The Hornet centre barrel replacement program is covered under a separate contract already in place, utilising a combination of local and foreign expertise.
Each aircraft is disassembled in Williamtown before being transported to L3-MAS's Canadian facilities for the replacement of the centre barrel. The aircraft is then returned to Williamtown and re-assembled by workers.
Mark Dodd | October 24, 2008
BOEING is to lay off 200 workers at Williamtown air base in NSW after failing to win a federal Government Hornet jet fighter contract.
It follows the selection of Britain-based BAE Systems and Canadian L3-MAS as preferred tenderer for the F/A-18 Hornet maintenance and modification contract.
Boeing's Australian spokesman, Ken Morton, confirmed that about 200 aeronautical workers at the base near Newcastle would have to be stood down, but said prospects were good for a large portion to be re-employed.
"It is true. We were bidding for a follow-on contract for maintenance for the classic Hornet and we were unsuccessful," he said.
In a separate statement, Boeing said it remained fully committed to executing all of its current commonwealth contracts, including the current F/A-18 contract, which ends on November 30.
"Furthur discussions will need to occur with BAE before we know exactly how many Boeing employees will be out of a job," the statement said. "But we have committed to working with BAE, the preferred tenderer, to assist our staff to find suitable employment, if this is what they chose.
"All employees not reassigned to other jobs within Boeing will be offered a redundancy."
Defence procurement secretary Greg Combet said the decision to lay off workers as Christmas approached was regrettable.
"There will be no change in the amount of work planned for Williamtown as a result of the new contract," Mr Combet said.
"Although, there will be some work force reductions due to the planned decrease in Hornet modifications activities, all work currently performed at Williamtown will remain at the Williamtown site."
It is understood the final contract negotiations are due to be announced at the end of the year.
The Hornet centre barrel replacement program is covered under a separate contract already in place, utilising a combination of local and foreign expertise.
Each aircraft is disassembled in Williamtown before being transported to L3-MAS's Canadian facilities for the replacement of the centre barrel. The aircraft is then returned to Williamtown and re-assembled by workers.