CQMS Razer blames downturn in mining market for stand downs
CQMS Razer has confirmed it will suspend employment for most of its Maryborough foundry workforce from July 1 to August 13.
The company was unwilling to tell the Chronicle how many employees would be affected, but the CFMEU had suggested 50 to 60 staff would suffer.
CQMS Razer chief executive officer David Haslett blamed a downturn in the mining market for the cuts, and said the company's Adelaide manufacturing plant would also be closed.
He said the closure of the Adelaide plant would benefit the Fraser Coast, with manufacturing operations to be moved to Maryborough within the next four months, creating up to 20 extra jobs.
"The outlook for mining in Australia is still uncertain as the sector continues to focus on reducing costs," Mr Haslett said.
"The consolidation of our Adelaide facility into our Maryborough operations shall reduce our manufacturing cost base, provide employment security and reconfirm our long-term commitment to manufacturing in Maryborough.
"We regret the need for the standdowns in Maryborough and the closure of Adelaide."
He said CQMS Razer's Adelaide site would officially close on August 2, and manufacturing would begin in Maryborough from mid-October.
CQMS Razer makes mining equipment and has operated its Maryborough site since 2003.
Since November last year, the Chronicle has reported on about 80 job losses at CQMS and two periods when staff have been forced to go weeks without pay.
CFMEU regional organiser Laurie Genrich said the union had asked CQMS Razer management for a list of any products being made at its China plant and sent back for use in Australia.
He said it was important all products that could be made in Maryborough were produced locally.
Meanwhile, Mr Genrich said workers had agreed to withhold a vote on whether or not to accept a reduced four-day week.
He said workers have been asked to vote to accept the offer on their return from the enforced layoff or face more job cuts.