By 2018 Australia Will Have No Domestic Car Manufacting

General Motors has just announced the closure of it’s Holden manufacturing in Australia by 2016. This will cost about 2300 jobs at Holden, plus many other associated jobs in the parts manufacturing industry in Australia.

Wasted Toyota Tercel

The closures of all Australian car manufacturing is inevitable with the high cost of labour in Australia and free trade. Without changes there is guaranteed to be even more manufacturing jobs leaving Australia, including Toyota.

US carmakers cut the wages of their workers in half to engineer the survival of their industry six years ago, whereas Australian pay rates grew by up to 21 per cent over the same period.

Entry level staff in Australia earn $23.50 / hour, while entry-level staff in the USA earn $14.00 per hour. (source)

Photo credit: Curtis Gregory Perry / / CC BY-NC-ND

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