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08 April 2008 - 3:46PM
By TOM ELLISON
A LAST-MINUTE rescue package has saved 285 jobs at Launceston's ACL Bearing Co. and averted a factory closure that threatened to cripple Australia's car industry.
Chairman of parent company Automotive Components, Ivan James, said the Launceston operation was just 48 hours from collapse until yesterday's $2.3 million joint State and Federal government bailout.
Closure of the business would have caused massive disruption to the automotive manufacturing sector, with Holden, Ford and Toyota sourcing all their precision engine bearings from the business.
But the Government assistance, together with financial incentives provided by the car manufacturers will keep the doors of the Launceston operation open while the company explores restructuring options.
ACL Bearing Co. is Australia's sole remaining manufacturer of precision engine bearings, although the company's future has been under threat in recent years in the face of cheaper imports and a strong Australian dollar.
By TOM ELLISON
A LAST-MINUTE rescue package has saved 285 jobs at Launceston's ACL Bearing Co. and averted a factory closure that threatened to cripple Australia's car industry.
Chairman of parent company Automotive Components, Ivan James, said the Launceston operation was just 48 hours from collapse until yesterday's $2.3 million joint State and Federal government bailout.
Closure of the business would have caused massive disruption to the automotive manufacturing sector, with Holden, Ford and Toyota sourcing all their precision engine bearings from the business.
But the Government assistance, together with financial incentives provided by the car manufacturers will keep the doors of the Launceston operation open while the company explores restructuring options.
ACL Bearing Co. is Australia's sole remaining manufacturer of precision engine bearings, although the company's future has been under threat in recent years in the face of cheaper imports and a strong Australian dollar.
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