Workers at Flowserve in Castlemaine were told this week of a proposal by management to shut down the pump making enterprise and import pump bodies from India and China.
AMWU delegate at the company Stephen Paul said the workers were told of the ‘proposal’ on Tuesday and were shocked by the news.
“It came out of the blue yesterday that they propose to shut the fabrication shop, the moulding shop and half the pattern shop. We had no idea that they were thinking of going down this road.”
Mr Paul said that while he was aware that the company needed to spend $2 million on a new induction furnace, he believes that they have not looked at getting assistance to fund this.
“They’re going for the quick fix which is to shut the place down without any regard for the workers who are employed here.”
AMWU organiser Damian King said shutting the foundry and fabrication shop did not bode well for the future of other staff.
“This is the very heart of the operation,” he said.
“They make the bodies of large pumps that are manufactured on the site, so there is a real question mark over the remaining jobs on the site.
“Is Flowserve really going to import the raw body parts from overseas and then assemble the final product in Castlemaine?
“We are obviously concerned.”
Mr King said management’s approach was unusual.
“They’re saying it’s a proposal. If that’s the case, we have suggested we sit down and look at getting assistance from the federal and state government to keep the plant operating. This is a profitable business.
Mr King said it was disappointing that Flowserve hadn’t invested some of their profits back into the business.
“Castlemaine is the only place in Australia that manufactures pumps that can move large volumes of water and, given Australia’s water issues, it’s a worry that manufacturing capabilities are drying up locally.”
“It should be of great concern if Flowserve shuts down, because the capacity to build pumps in Australia will be gone.
“That’s why we’re doing everything we can to keep the business going and keep the workers employed.”