Yet more handouts: another $118,000 per Holden job

[nero_bolt]

Another Rudd and Labor thought bubble and policy on the back of an envelope... 

Another handout to save union jobs - at the expense of others:

HOLDEN is close to securing a new deal for a further $200 million in taxpayer money - a double dip that follows the $275 million pledged last year to maintain its manufacturing operations until 2022…

Since then Holden has sacked 400 factory workers and 100 engineers ... and its manufacturing workforce has shrunk to 1700 from a peak of more than 7000 in 2004.

That works out at $117,647 per employee.

First Labor whacks Holden with FBT changes to save money. Now it hands Holden money to save jobs. That money comes in part from companies trying to stay in business themselves.

Very little of this pass-the-envelope makes sense. But it does make for a series of nice political headlines, however misleading: “Government scraps rort”, “Government cuts spending”, “Government saves jobs”.

Just repairing what they smashed:

LOCAL carmakers claim their sales could fall 20 per cent and the total new car market will fall 10 p...

The Federal Chamber of Automotive Industries said new car sales were expected to drop by 10 per cent or more annually - about 100,000 cars - if the Rudd government continued with its commitment to eliminate FBT statutory formula method for salary-sacrificed and employer-provided cars…

Australian Salary Packaging Industry Association president Leigh Penberthy has estimated that 3000 jobs were at stake after 10,000 vehicle orders were cancelled in the first week after the change was announced a fortnight ago.

[donnashuggy]

Where are the pretty pics?

[lakeland27]

NW said.

''Australian Salary Packaging Industry Association president Leigh Penberthy has estimated that 3000 jobs were at stake after 10,000 vehicle orders were cancelled in the first week after the change was announced a fortnight ago.''

 how does the author manage to use both sides in his argument and con people so ? if the car industry was no longer subsidised even more jobs would be lost.. the author however tries to convince us that a fringe benefit is more important than entire livelihoods ..  the bias of the so-called journalist makes him look stupid really.

[the_hawk*]

If that $118,000 per Holden job is only for people working at the GMH plant then its money well spent. There are as many people “Sub contractors” All working in the local area suppling parts and sub assemblies.  

Then consider the flow on effect to other non related businesses in the area when all these people are unemployed.  

Then consider the social impacts on the welfare system and family break ups caused by stress and losing their homes.   The cost to the tax payer will be far greater, that’s if there is any one left working to pay taxes.  

Holdens is the largest manufacturer SA has and nearly everything else revolves around it.