Toyota Australia workers to strike at Altona tomorrow

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By Tim Beissmann | September 01st, 2011

Around 3200 Toyota Australia employees will walk off the job tomorrow morning as they push for larger pay increases.

Production workers at the Altona manufacturing plant in Melbourne will strike for 24 hours, beginning at 7am on Friday. The industrial action is likely to cost Toyota Australia $8 million in lost revenue.

The Australian Manufacturing Workers’ Union (AMWU) is pushing for four per cent pay increases for each year over the next three years, but Toyota Australia has fallen short of the mark, offering 11 per cent over 39 months.

Toyota Australia’s Laura Hill confirmed the carmaker was notified about the AMWU’s intention to strike last Friday.

Ms Hill said Toyota had been talking with the AMWU throughout the week but said a resolution had still not been reached.

She said a number of other unions were also involved in the strike, and confirmed negotiation talks were ongoing, with an aim to ideally reach a resolution before tomorrow’s planned industrial action.

The AMWU is expected to hold a work meeting with the production employees tomorrow to discuss the terms of the negotiations and decide whether it will take further industrial action.

Toyota Australia’s Altona plant operates seven days a week over AM and PM shifts. Vehicle assembly is conducted between Monday and Friday, while the weekends are generally reserved for maintenance and overtime work.

With the plant currently operating at full capacity, production is running at a rate of about 9000 vehicles per month. With around 22 vehicle production days in every month, tomorrow’s strike will put an approximate 400-vehicle dent in Toyota Australia’s September production.

Last financial year, Toyota Australia generated $1.4 billion from exports of the Camry and produced more than 25,000 Camry and Aurion vehicles for the Australian market (at an average of $30,000 each, that’s $750 million for the year).

All up, that’s around $2 billion per year, and given there are 250 vehicle production days each year, the approximate cost of tomorrow’s strike for Toyota Australia will be around $8 million.

b

The article forget to mention that they didn’t sack anyone involuntary during the GFC slow down. How quick they forget.

b

*involuntarily
me-all-day

Ahh the Unions F^(*%& another Aussie industry.
Just like the Qantas engineers and Pilots calling for more pay then complaining when Qantas decides to move operations overseas. The writing is on the wall people. With the high Aussie dollar and greedy employees we are just gonna lose more and more industry. I wonder how long until the big T moves it’s Aussie manufacturing OS? I’ve no doubt the Saudi’s would LOVE to make it there. Their internal consumption justifies it all on it’s own!

fakeis

Can’t agree more.
What are these union workers thinking?
They’re so out of touch with reality, they don’t deserve to go back to work at the Toyota plant. Put them to the Ford factory where they will fire them with no second thoughts.
Jacob

Strikes are common in France, South Korea, India, etc.

In France they kidnap their boss to get better pay, South Korea has a militant workforce that riots.

Victoria Police is currently striking, by not issuing speeding fines, and most of you support that measure.

Qantas and Toyota workers be damned?

team member

yes but we work didnt work full time do you know that mr B

Sumpguard

Back in the 80′s there was paint strike that tore at the big 3. Toyota kept their workers on and had them doing things like cleaning to ensure workers got paid. When the paint strike ended the workers went on strike at toyota. Poor form.

AR

That’s bad news I still want a Camry with auto and alloys for $26,990 drive away no more to pay.

kazuo

get a holden cruze

Oh dear

cruze is rubbish

Peter Stone

thats a bit narrow minded, I think a SRI-V cruze has more to offer than any camry does.

Damian

“More” as in “more” interior trim falling off, or just “more” time in the workshop?

LSD

Typical greedy factory workers, they should be thankful they have a job. They get enough pay for un-skilled jobs. I a few years they wont have a job when Toyota stop making cars here.

ECU

Greedy factory workers didn’t cause the GFC,that would be greedy bankers(greedy pen pushers).
James Cortez

Agree with you 100% LSD. Typical autoworker in Australia: Lazy and just want to have good pay doing minimal work. Smoko, coffe break, sickie etc. Toyota, if I were you, move your manufacturing to Thailand, Malaysia where the workers will put in more effort and happy with less pay. Walk away from those aussie workers.

Wally

Thanks AMWU. Add more strain to our local auto industry. Count yourselves lucky to have jobs that already pay well.

David

I wonder what the hourly rate is for these workers is? I guarantee that they earn more than me! The way I look at it is if they want their jobs to leave Australia then they are going the right way about it. Sometimes you need to sacrifice a little whether it is pay of the tasks your employer askes you to do to keep your job safe. I know I would prefer to be employed than umemployed
me-all-day

LOL
The AMWU will not have much membership when all the jobs leave cos they are too greedy.
They say they represent the workers, they only represent themselves and their political interests.

Craig Thomson anyone?

Alex II

When Australia doesn’t manufacture anything anymore who will be at fault.

Against Manufacturing in Australia:

High Aussie Dollar
Comparatively high wages
Distance from anywhere else in the world
Country run by Unions
Carbon Tax
Low import tarrifs
Skills shortage
High corporate tax

For Manufacturing in Australia:

Good greif

Australian car industry is just subsized by foreign shareholders – there is really not much Australianess in it.
F1MotoGP

Swiss wages much higher

Minimum compensation ranging from 2,200 to 4,200 francs per month (2600AUD to 4900AUD per month) for unskilled workers and from 2,800 to 5,300 francs per month (3300AUD to 6200AUD) for skilled employees.

Andrew M

2200 francs per month equals 600 per week or $15 per hour.
I bet the auto workers here get a lot more than $15 per hour

F1MotoGP

Your calculation is wrong and you did not read it!
Unskilled min wage range is from 2600 to 4900. In Switzerland auto workers if there is any will earn more than min wage just like here!

In 2008 Gross monthly wage in manufacturing was
6475 CHF /months = 90960 AUD pa
Source: Swiss Federal Statistical Office

Alex II

Switzerland don’t produce vehicles in any sort of number, maybe the wages are the reason why!
Andrew M

I dont believe my calculation is wrong because 2600aud per month is about $15 per hour. 4900pm is about 28 per hour.

Now you have moved the goal posts….. now you say the min wage is 6475 swiss/month??

F1MotoGP

I di not say min wage is 6475 CHF. Read carefully what I am saying!!!!!

In 2008 Gross monthly wage in manufacturing was
6475 CHF /months = 90960 AUD pa
Source: Swiss Federal Statistical Office

Andrew M

ok,
and what was the gross annual wage in Australia??

was 6475 the average??

me-all-day

relevance? This is about Australia, not Switzerland.
JHP

doesnt matter if Switzerland or australia has higher wage or not
they both have extremely high cost of living compared to other nations around the world.
so in conclusion, high income means nothing in australia or switzerland, maybe in USA, where people earn quite a lot, and cost of living is much lower compared to australia

F1MotoGP

I know they do not make any cars but they use to. It was Monteverdi a Swiss brand of luxury cars created in 1967 by Peter Monteverdi (1934–1998) and based in Binningen on the southern edge of Basel, Switzerland.

Today Swiss manufacturing supplying auto parts.

Alex II

Anyway, it is you that needs read carefully, I said comparatively high wages, this means compared to our competitors of which Switzerland is not one.

Saa

Australia should create a tariff on foreign carmakers who do not manufacture their cars in Australia..

Showtime

We tried this and all it did was give the local manufacturers an excuse to stop being innovative. An import tariff is anti-competitive.

b

+1
davie

Tarriff’s and lack of competition is the reason why local products were so mediocre up until the mid 90′s

Amazing what a bit of competition has done for the local products in the last 15 years.

Gman

SO what is stopping Toyota from pulling its manufacture from Australia?

davie

politics…
me-all-day

An agreement where the government gave them millions to manufacture the Camry here.

paulb

Gman taking away the earthquake and following tsnami in Japan.Toyota is the largest seller in AU by a long way.Toyota build locally and Australians buy all models of Toyota,good marrage.
eveready

I spent many years working in Automotive manufacturing, supervising, engineering and project implementation at one of the OEMs – I know all about the frustration with the AMWU. Their positioning of late has done nothing for the job security of their members – the greed, laziness and an entitlement mentality I have seen from their reps only makes vehicle manufacturing in this country less competitive, which unfortunately will probably lead to un-sustainability. Unfortunately the people that lose out – will be the people who can least afford it and with the least options on future employment: the union members themselves.

Alas – ive moved on from the auto industry to one with better opportunities – but really hope they all pull through. It will be a shame to lose such an amazing industry in the country.

davie

In the UK the militant unions destroyed the car industry, they assisted the big 3 in the US (although incompetent management also helped.

The average worker is poorly served by having class-war obsessed union representatives taking this action.

Yakooza

Sack all the workers here and take the production back to Japan and help the community there. The workers here keep demanding higher wages but the efforts are half the pay they get.
dan

Toyota will think again … all made in Asia e.g. Thailand, malaysia and China…LOL
spice

Get a Mazda 6 – it is far better than a camry, commodore or falcon.

The Specialist

YOU ARE JOKING RIGHT?

SK

Gee I wish I got offered an 11% increase over 39 months! That’s not far off what they asked for. There should be some space for negotiation right?

http://news lea

get a life you dont now the workers side of things

vrx26

That’s why big manufacturers think twice about doing business here because of unionized workforce. I have nothing againts unions but our car industry is just barely surviving in the current condition and doing work stoppage would just slow it down again. I would’nt blame Toyota if they put their business somewhere else because they cannot compete if they gonna spend too much on workforce compared to other manufacturers. Not a good call and wrong timing for the union leaders.
Goose

If you want to enjoy a small car – I urge you to try the Mazda 3 (hatch). It is probably the best car ever designed
Junk

If the camry was sold world wide as an australian car – nobody would buy it. People abroad assume that the camry’s are Japanese when they go to the show rooms.
Bob

These greedy “workers” better watch out or Toyota might do a Mitsubishi !
Andrew M

This my fellow readers is why the manufacturing sector is buggered.

Everyone thinks they are worth more and more but forget this very notion is what keeps driving the cost of living through the roof.

I started an argument about this only last weekend.
Most people get paid too much, there is too much money in this world.

They are lucky to still have a job, and the 11% offer is only about .6% per year behind what they want.

How does the union justify a wage increase above the rate of inflation??
Karl

It’s interesting to note all the comments above, despite no one knowing how much these workers are actually earning.

Andrew M

What are they earning Karl?
and is it inline with Holden and Fords employee wages?

Karl

Sorry Andrew, my comment may have been a bit misleading; I don’t know what they’re earning.
I was just pointing out people are very quick to make judgements without knowing the full story.

Aa

Japanese must be very proud, their fortunes provide other people in foreign countries with jobs..
Marcelito

Didn’t Toyota management bend over backwards to ensure no workers lost jobs in Aus while most other companies were cutting theirs during GFC? How about a little gratitude and accepting a pay offer that is 1 % lower then they want..geez

da member

the media never got a hold on the amount of voluntary packages toyota issued. if i remember right their were about a couple of hundred in the last couple of years.and there was about 150 packages just last week.

What the??

yeah VOLUNTARY is the point i think

DJ

For James Cortez maybe you sude try to work in toyota for 28 buck ph mate
Shak

These Autoworkers, and their greedy unions should really get a reality check. Toyota would be well within their rights, and could quite easily move production offshore to a much more suitable place like Saudi Arabia or Thailand. The thing these people have to realise is their jobs are not unique in anyway, and that they compete with a global labour force and not just an Australian one.

team member

yes but Arap don’t want to buy cars from China or Taiwan thay want Aussie cars so how give the fu.. we dont have pay rise in 17m time is now

Oh dear….

As the spouse of one of the Toyota workers…These workers haven’t had a payrise in three years. The offer that is currently on the table is a lot lot less than the forementioned 11%.
James Cortez said “……Typical autoworker in Australia: Lazy and just want to have good pay doing minimal work. Smoko, coffe break, sickie etc. Toyota, if I were you, move your manufacturing to Thailand, Malaysia where the workers will put in more effort and happy with less pay.”
I see the autoworkers as doing a pretty awful, repetitive, dirty job that yes, could be done in Thailand or Malaysia and yes probably at less expense, but..with poor human rights and atrocious working conditions. Of course they would be happy with less pay in Asia – there standard of living is so much less.
Oh….and Smokoes? An assembly line starts and moves. If you aren’t at your post when things are moving there are consequences. Having a smoko when you feel like it, isn’t an option. The Altona plant is very important to Toyota. It is the flagship for their international production. Therefore it is important that it is successful.
We aren’t greedy people. We would just like to be able to cover the CPI.
My husband just called, he will be striking today.
I hope it works out out fairly for both the workers and Toyota.
one more thing…..I love my locally built Hybrid Camry.(and no, I bought it without the discount.)

Sarah

I work for a firm (white collar) we hadn’t had payrises in 3 years – finally got one and it was 2%!
You don’t see us striking – given everything that is going on in the world we are grateful we have a job!
Bob

I’ve been to the Altona production line before, and yes, I agree it is hard work – but it is a great factory and a fantastic company in my opinion.

However, given the recent events that have been affecting Toyota and the Australian manufacturing industry, now is not the time to be taking industrial action and demanding higher wages – if we want to keep manufacturing in Australia, we all have to make some sacrifices. Toyota Australia has not turned a profit for more than 2 years already. I can understand union action if the company was making a few hundred million in profits annually, but right now the entire industry is barely able to break even.

The future of manufacturing in Australia is in a very precarious position, and if we are interested in keeping these jobs in Australia beyond the next three to four years, then we must show a bit more foresight and not give them any more reason to leave.

da member

your saying they haven’t made a profit in 2 years, i disagree.what about the 70 years before that when times were good? Also take notice next time you are watching tv or on the computer or listening to the radio, toyota sponsor everything. geez times must be tough for them records sales….. have been number one in sales for years. if toyota can’t survive what about the other car manufacturers. Maybe we will be all riding around push bikes soon, because all car makers are crying poor. go the unions.

Bob

How tragically short sighted and ignorant of you.

If you know anything about the auto industry, you’ll know it’s has not been a smooth ride over the past 70 years – there were good times and there were bad. Profits in the past mean nothing now, since they’ve either been paid out to shareholders or invested into more factories – it doesn’t sit in a safebox somewhere to pay out to unreasonable unions. Profitability in the past is no promise Toyota will keep producing in Australia – it’s the profitability in the future that counts. If Australia is not profitable in the future (which the union is doing a good job at right now), then Toyota has no reason to produce here.

Furthermore, if Toyota doesn’t sponsor or advertise like it does now, it will only lose more market share – in fact, it went down from 21% to 16% over the past year. Selling less cars does not translate to more jobs.

And if you’ve paid any attention to the news lately, Ford has already cut jobs. Holden (i.e. General Motors) has also announced last month that it is considering the viability of its manufacturing operations in Australia for the future. Toyota is not alone, and all the factory workers should be grateful of their jobs and fight to keep it – not go on strike and give more reason for Toyota to produce elsewhere.

Paul

From what I saw there were 3 options for 11% over 39 months, and the ‘current’ offer which would’ve been valid before today’s strike action was over 2 years which had the same rate of increase as the 3 year offers. In addition to the 7% over 2 years, which was what the union wanted. There was also a bonus component which was $250 lower then what the union wanted. Basically your husband took strike action over $250, which he could’ve easily earned if he worked today.

Arty

Unions are killing Toyota Aust.

Union rep’s refuse to do any work and sit in an office and watch movies all day. Who do they represent?
Now they will strike for 1% pay. The people they represent will not get paid today. One days pay = ~0.5% (220 work days / year). Pretty smart??

Now they argue that if Toyota can afford to sponsor the AFL then they should be able to give over average wage.

Camry is made in 7 different countries, will be very easy to shut Altona and not put up with the AMWU BS.

da member

why would toyota move off shore, when the government pay them to stay.Also don’t forget that we might get higher wages in australia than those asian countries being mentioned but it all balances out after the japs get a good deal on the cheap raw steel prices. If they went offshore i beleve the raw material prices would change. go the unions!!!

What the??

yeah steel is so competitive here!!! and a steel smelter didnt shut down just a few weeks ago!! must be nice living in lala land where you can just make stuff up

http://www.facebook.com/profile.php?id=1715760895 Charles Dean

They always want more.. I think public school teachers will have a strike next week..
Peter

You guys are all on drugs – you want to work at toyota always push push push – its no longer a family company it once was. Toyota can spead millions on AFL, The Block, etc for your enjoyment – come and put up with some of the shit we deal with day in day out. Last EBA all toyota workers took a pay cut to support Toyota and job security and this is how we are treated. The arabs will not pay any extra money for the new camry even thou there has been money spent on design etc yet we in Australia have to pay more – not fair….Yeh toyota workers have it good, but most of us have bust our arse for the company because we are proud of what toyota has achieved in aussie and we are proud to be long serving employees and proud to be toyota….Where are ford and the big GMH in securing manufacturing jobs in Aust. Maybe its not Toyota fault its the dumb aussie thinking the big Ford and GMH are aussie cars and will save the day hahaha… Oh and the pay increase doesn’t even match CPI – hey but its close…. Get real Australia we have sold the country down the drain – time to move… Oh and the banana head that said lets move production to thailand – yeh good idea and let me know so we can move your job there too and your wage per week will be the price of one yes one can of coke – so maybe its OK to take your holiday their goose and buy your copy adidas shirts but not work there hey buddy ??? Toyota altona is the diamond in japans crown and the flag ship of international production and No. 1 – we are the bench mark and always rise to the challenge – look at what the engine plant did to secure the new engine !!!! We have the hybird not ford and GMH… Australia think twice and support TMCA as we are australia !!
team member

all off you are just so f.. funny stop worring about or job worry about yours and your miserable pay rise of 1%.any way its all the game we win
UNION 1

Before you clowns mouth off get your facts right! These workers gave up there RDO’s over the last 2 years to help the company out when needed. And for all you pen pushers who enjoy there 2% pay rise rdo is a day off to spend with your family 10 a year! These guys haven’t had a pay rise for 3 years to help the company these guys took a bouns to help the company out. And mind you all the company directors still drive around in 300k cars they haven’t annouced any pay cuts but they are doing it hard poor things! So wake up! the union is not 3 or 4 people the union is the 3000 that voted so for all u bosses and pen pushers who have left comments above get a life…. GO UNIONS!

Andrew M

Do you realise RDO’s get funded by pinching a couple of hours pay per week so after 4 you have 8 hours in loo?

Rdo’s or no Rdo’s the pay packet doesnt change and its all as good as being in the bank.
Are you trying to say you work 40 hours, get paid for 38 with no RDO??

union1

RDO`s are planned days off to spend with the family something the unions got years ago we changed our rdo`s gave them up and changed them to pdo`s so the whole plant is shut down helping the company out when they needed help with pdo`s we cant pick the day off so if the wife is at work and the kids are at school then the day is wasted and no a good union shop doesnt work 40 hours and get paid 38 hours!

Devil’s Advocate

Wow, that hurt my brain trying to read that. Punctuation is your friend…

TMCA Employee

I find it highly offensive that some people can refer to myself and fellow Toyota employees as being greedy. We have reluctantly agreed to the last three EBA’s put forward by Toyota as we understand the need for flexibility in the manufacturing sector to ensure a stable future. All three of these agreements were for a twelve month duration each with two including pay rises well below CPI figures and the other with NO pay rise at all. Toyota has continually stressed that in the current financial climate, they are not willing to pay any more than that which has been offered. This line is becoming very tired and overused with the employees. Granted, Toyota did find useful work for employees during the ‘Global Financial Crisis’ but at the same time announced a PROFIT at the end of the financial year in which this occurred; the only Toyota affiliate in the world to do so. Granted, Toyota suffered reduced production after the earthquake/tsunami hit Japan, but the workers suffered with a reduced wage due to stand downs, neither of these could be helped. But the employees have committed themselves to Toyota for the long term and they want Toyota to do the same. We are tired of one year deals and want more of a committment from Toyota and a realistic pay rise. If that is greedy in some peoples eyes, perhaps they can tell the bank manager, the power company, the gas company, the telephone company, the petrol station attendant, the local Safeway Supermarket, the council etc. etc. that they too are being greedy by absorbing so much of what I’m paid weekly.

Remind yourself of the terrible scenes of the recent riots in London. This is what happens when the gap between those who have and those who haven’t is pushed too far apart. I never want to see that happen in my country.
Geely CEO

What a blu s hit from management…this yr Mr. Toyoda earns about $1.5 million AUD. Is that a big ask for the employee for 4% a yr? and for management they always mention HIGH AUSSIE DOLLAR…didnt you guys sell parts? where the parts comes from? Asia and Japan mostly…they paid pennies for asian parts supplier and selling here earn the BIGGGGG AUSSIE DOLLAR…car manufacturing and part sales like a yoyo in fount of exchange rate…when car manufacturing gets tough…parts a laughing…so as another way round…what japanese didnt tell is how much money they grab by selling parts…cry for poor? what a joke!
Geely CEO

Think of moving the factory to Thailand? U will never know when Thailand will shut their airport and seaport again due to social unrest. Think of moving to China? employee there recently secure 17% paid rise this yr…and the govt is keen to rise the benefit for workers. Moving back the production to Japan? Yen is just as dear as our dollar and once another tsunami hit..good luck for that. Move to middle east? nice try…when u bosses say aussie worker are lazy…just wait until you put a factory in there…all middle eastern country dont have good manufacturing base and i believe is not by mistake. Fact is Tsunami tells a story that never be good idea to put all the eggs in one basket…And lastly…why management put a 3 yr deal this time around? Coming yr will have new Camry, Aurion, Hybird camry, yaris, corolla…next few yr they going to sell big and they want workers to sign for the dud deal…nice try!