WORKERS at CMI Ballarat have been guaranteed six more months of employment after the struggling car parts manufacturer was officially placed into liquidation yesterday.
Last month, receivers were appointed for the company after it stood down workers at its Campbellfield factory during a dispute with the landlord over unpaid rent of more than $100,000.
Around 150 workers who sat in on a creditors meeting in Melbourne yesterday were told that the firm’s liquidation meant a a buyer could be sought, potentially avoiding workers losing their jobs and entitlements.
The meeting was told that 250 workers at four Victorian plants, and 150 at a site in Toowoomba, will continue to work during the six-month period, also allowing key parts to continue to be made for Ford’s Australian production sites.
Australian Manufacturing Workers Union Victorian secretary Leigh Diehm told reporters CMI workers were concerned large amounts of employment entitlements were under threat.
The union now plans on pressuring the liquidators of the company into pursuing any case of financial mismanagement.
“We know, for example, that there is up to $1 million worth of superannuation payments outstanding, so there’s a big likelihood that our members will never see that money,” Mr Diehm said.
“All our members are still very concerned about what the future holds,” Mr Diehm said.
CMI Ballarat employs around 60 workers full-time and provides work for 20 contract employees through a partnership with McCallum Disability Services.
Both the Federal and Victorian governments have previously offered support in saving the company, with Premier Ted Baillieu expressing concern about supply chains for the automotive industry.