THALES staff in Bendigo are threatening to strike fearing jobs will be outsourced to Melbourne or interstate contractors.
After four months of negotiations, Thales union members have voted for the right to be able to take protected industrial action for a new enterprise agreement.
Australian Manufacturing Workers Union state organiser Damian King said Thales was refusing to consult unions and employees about moves to contract work currently done on the Bendigo site.
Thales is hoping to win contracts from the federal government for the next two phases of Australian military vehicle work, including proposals to manufacture about 1000 single-cab light-armoured Bushmaster vehicles and about 1300 Hawkei vehicles.
Mr King said if Thales won the contracts the company was considering manufacturing and assembling these vehicles outside of Bendigo.
The union will meet Thales management on Friday and Mr King said unless substantial progress was made, union members would give serious consideration to striking next week.
A Thales Australia spokesman said the company was continuing to negotiate with its employees and their union representatives in good faith and were committed to working with them in pursuit of common goals.
“Any agreement reached must support the ongoing success of the business in Bendigo,” he said.
However, he said it was well-known that outsourcing work to small and medium-sized enterprises in Australia had been a key part of Thales’ success with the Bushmaster.
“Naturally our plans for future programs continue this approach, delivering long-term capability to the Australian Defence Force, significant economic benefits to Australia, and rewarding jobs for our employees in Bendigo.”
Federal Member for Bendigo Steve Gibbons said he supported the right of Thales employees to take protected industrial action as part of new enterprise agreement negotiations.
“I have every confidence in the unions and the company reaching an appropriate agreement in future negotiations,” he said.
Liberal candidate for Bendigo Craig Hunter said any plans by Thales to move manufacture and assembly of the Bushmaster out of central Victoria would set the region back a decade.
“It is an utter disgrace that Thales could consider putting at risk local jobs and add to the pressure on our local families,” he said.
Greens candidate Kymberlie Dimozantos said she wasn’t aware of the contract details, but said the Greens were committed to keeping jobs locally.
“At the same time we support worker’s rights to strike,” she said.
Family First candidate Alan Howard said he would need to find out more detail and talk to the company before he could comment.