HOLDEN managing director Mike Devereux has defended the carmaker's plans to sack 100 casual and contract workers at its plant in Adelaide, claiming the layoffs would improve efficiency.
His comments came as South Australian Premier Jay Weatherill -- who faces his first poll test next weekend with a by-election in a seat where thousands of Holden workers live -- insisted the job-shedding was unrelated to a demand from the company for up to $200 million to remain in the state.
"That's actually a separate conversation," the Labor leader said of the company's decision, revealed late on Wednesday, to axe the afternoon general assembly shift at its Elizabeth plant in Adelaide's northern suburbs, with the loss of up to 140 jobs.
Holden assembly line worker Billie Dowsett, 30, a single mother of two, has worked as a casual at the plant for nine months.
"There's been no notice -- some people are being told the night before their last shift," Ms Dowsett said yesterday. "They're just text messaging or emailing."
Ms Dowsett has a mortgage and is paying rent after separating from her partner. She is the sole carer for her two children, aged 10 and eight.
"I had always thought I would be employed there full-time, and that's obviously not going to happen now," she said.
"It's horrible, because I really liked working there."
Mr Devereux, who visited the plant yesterday, did not address the staff or those losing their jobs, saying the move was "a fairly natural business decision, and workers are going to understand that".
He said the company would improve efficiency by merging two shifts into one day shift, and increasing the line speed from 100 seconds to 60 seconds.
"The employees will have fewer things to do to each car, which actually makes them have to remember less and improves quality," he said.
"You also have the savings from not having the plant open at night."
Australian Manufacturing Workers Union vehicle division head John Gee said merging the shifts would increase the workers on the floor of the plant and create safety risks. "It's going to be a workplace nightmare." He said the workers were angry with the Premier for not warning them of the impending job losses and shift changes in December, when he first knew about them.
Wayne Swan said yesterday the federal and state Labor governments "must do everything we possibly can to assist the workers to gain future employment".
Julia Gillard said negotiations were being finalised for a financial package to keep Holden in South Australia.
"I'm absolutely determined, as a Labor Prime Minister, that we keep car manufacturing here," Ms Gillard said.
However, federal Manufacturing Minister Kim Carr conceded: "We cannot say, as part of any part of any negotiations, that every single job will be secure forever."
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