Eighty workers at a West Footscray uniform factory face will lose their jobs when the company closes its doors at the end of next month.
Star Weekly reported in May that WorkWear Group was struggling to keep its defence apparel manufacturing factory open after failing to secure a new order with the Defence Materiel Organisation.
The company has now confirmed it will close its doors from September 30, along with the adjacent Hard Yakka Work Wear Centre.
All 43 manufacturing and two retail roles will be made redundant, with a further 35 casual workers also to go.
WorkWear Group is Australia’s largest workwear provider, manufacturing more than a million uniforms each year for workers including police, firefighters and nurses.
The West Footscray factory has been producing the Multicam Combat Uniform, used since 2011 by Australian fighters in Afghanistan.
A statement by WorkWear Group blames the closure on “challenging conditions in the defence uniform market” and the changing nature of defence procurement.
“WorkWear Group recognises this is a difficult time for many people and we will continue our support of affected employees during this time of uncertainty.”
Gellibrand MP Tim Watts said Labor has written three times to Defence Minister Kevin Andrews seeking his intervention in preventing the closure.
In an August 5 joint letter with shadow ministers Stephen Conroy and Kim Carr and shadow assistant defence minister David Feeney, Mr Watts urged the minister to urgently reconsider placing a new order with WorkWear.
“As you know, manufacturing textiles and clothing for Defence is a highly specialised activity and we are concerned that this decision will lead to the loss of one of only two businesses that has these skills and capabilities.”
A Department of Defence spokesperson said the factory closure is a commercial decision by the company.
“Workwear Group presented three revised costing options for the manufacture of uniforms, but all three options remain uncompetitive in comparison to the alternative supplier Australian Defence Apparel (ADA) at Bendigo.”
The spokesperson said Defence placed an order with the Workwear Group to assist continued production through to the end of August to allow the company more time to pursue other avenues of work at the West Footscray factory.
“Unfortunately, the Workwear Group has been unable to offer more competitive revised pricing.”