Victorian AWU members welcome Govt's vote of confidence
20 November 2008
The Australian Workers Union welcomes the announcement from the Brumby Government that it will favour local manufacturers over their foreign competitors when awarding government tenders.
AWU Victoria Secretary Cesar Melhem said the AWU had invested a lot of energy into convincing the government of the value of backing local manufacturers.
Union wanted Gvt to go further
"We are happy that the Brumby Government has decided to go forward with a policy that rewards local manufacturers for investing in the skills of Victorian workers," Mr Melhem said.
"We would have liked to have seen the government go even further - as we were pushing for the government to require 50% local manufacturing content and up to 20% price advantage," he said.
"Independent modelling conducted by the AWU demonstrated our position would have been cost-neutral after you take into account matters such as payroll tax and saved welfare payments."
AWU members building trains in Dandenong will be winners
"The government's stated aim of 40% local content over the life of the contract (which also covers the maintenance of the product) is less than what we are after, but we recognise it is a step forward.
"We will be continuing our discussions with the Brumby Government, with the aim of making sure that local manufacturers can compete on a level playing field."
Mr Melhem said AWU members who build trains for Bombardier Transportation in Dandenong would be among the big winners from the lifting in local content.
National Secretary: Paul Howes