Toyota wants to change terms and conditions for 2500 workers at its Altona plant to reduce labour costs.
But the car manufacturer, which will cut up to 100 jobs before Christmas, is refusing to provide details of what variations it wants amid reports that federal cabinet cannot agree on whether to keep funding vehicle manufacturing in Australia to ensure its survival.
Toyota president and chief executive Max Yasuda said the company was taking urgent action to stay at the negotiating table and improve its long-term manufacturing viability.
“We need to improve our productivity and reduce the cost of each of our locally built vehicles by $3800 by 2018,” he said.
Australian Manufacturing Workers Union official Dave Smith said Toyota had given no details, but changes to workplace conditions could include allowances, shift premiums and annual leave.
“It’s critical and at a time it needs to support the industry and the hundreds of thousands of jobs that go with the industry, we have a federal government fighting among themselves about whether to fund it and keep it here,” he said.
Federal Industry Minister Ian Macfarlane said the Coalition was committed to ensuring Australia had a sustainable and profitable automotive sector.
“The government has asked the productivity commission to examine the best way to ensure the ongoing viability of the automotive sector,’’ he said.
Toyota workers will vote on the proposed changes on December 5.