Ford’s announcement it will cease manufacturing in Geelong has shocked the city’s civic and community leaders.
The company will close its Geelong manufacturing plant in October 2016, putting 510 staff out of work despite millions of dollars in government support over the past few years.
The jobs of about 600 workers at Ford’s Geelong research and development centre and Lara testing facility will be unaffected.
State and federal governments have responded with $40 million for an innovation fund to help Geelong over the job losses.
Geelong Mayor Keith Fagg said Ford’s announcement marked a “sad and unsettling day” for the city.
“We feel very keenly for the affected Ford staff members – members of our community, many of whom are second and third-generation employees who have grown up with Ford almost as part of the family,” Cr Fagg said.
“Even though we all knew Ford was facing difficult times both in Australia and on the international scene, today’s announcement of Ford’s scaled-down plans have still come as a shock.”
Cr Fagg said city leaders had already come together to discuss the closure.
“Top of the agenda was discussion on how best to support the affected workers and how to develop new job opportunities in the future.
“This announcement highlights the need for a structural adjustment within the economy in recognition that the world is a different marketplace compared to Ford’s heyday, especially in the manufacturing sector, which is being impacted by the emergence of new economies.”
Committee for Geelong’s Rebecca Casson called for a “strategic investment plan”.
The plan should address “the bigger issue of our iconic industries downsizing” and determine the use of any government handouts, she said.
“This regional plan for our economy should be developed in partnership with major employers, education and training organisations.”
Geelong Football Club, which has an historic sponsorship arrangement with Ford, said it expected the arrangement to continue.
“We will continue to support Ford’s efforts to grow its sales and brand presence and we look forward to our ongoing association,” the club said.
Geelong Manufacturing Council head David Peart welcomed the $40 million in innovation funding but said future government investments must drive sustainable economic and jobs growth in the city.
“Over the coming weeks we will be looking looking at how this investment can help drive implementation of a long-term growth strategy that attracts new business, jobs and growth to Geelong,” he said.
