More Aussie Workers to Lose Jobs as BP Shuts Brisbane Refinery, Boeing Downsizes Melbourne Facility
By Vittorio Hernandez | April 3, 2014 9:34 AM EST
With the pending shutdown and downsizing of two large multinational employers with facilities in Australia, more Aussie workers would soon lose their jobs, worsening the country's high unemployment rate.
On Wednesday, British Petroleum announced the closure of its Bulwer Island refinery in Brisbane due to losses arising from competition from larger and more cost-effective refineries in Asia.
The plant, which was built in the 1960s and could produce 102,000 barrels of fuel daily, could possibly be converted into a multi-product import terminal, said BP Australasia President Andy Holmes. The decision to close the plant by mid-2015 came after BP reached the conclusion that the best option left for the oil and gas giant is to buy products from other refineries.
Not all of BP's 380 workers and 300 contractors at Bulwer would lose their jobs since some would be reemployed elsewhere, although BP did not provide more details.
Other oil companies in Australia such as Royal Dutch Shell, ExxonMobil and Caltex have been losing money the past few years and have made changes to how they would use their facilities similar to BP's.
Shell will leave its refining and marketing business in Australia and sell it for $2.6 billion to Vitol, a global oil trader, while Caltex will convert its Sydney plant into an import terminal.
On the same day, aircraft manufacturer Boeing said it would cut its workforce at the Port Melbourne site by the end of 2014, resulting in about 300 employees losing their jobs. To be hit hard are mostly fixed-term contractors.
Boeing Aerostructures Australia said in a statement that axing jobs is part of the manufacturing cycle. Most of those who would lose their jobs would be through natural attrition. Boeing would also not fill up open positions as part of its cost-cutting initiative.
The firm has about 1,300 workers at its Melbourne facility, performing design, test, certification and manufacturing tasks of advanced structures for commercial jets.
To contact the editor, e-mail:
Most Popular Slideshows
- Real Life ‘Frozen’: Snow Overwhelms The US, Kills 7; More To Come (Pictures)
- Angelina Jolie, Brad Pitt in Sydney for ‘Unbroken’ Red Carpet Premiere [PHOTOS]
- ‘The Walking Dead’ Season 5, Episode 8 Spoilers: Daryl Dixon Is Set To Burn The Place Down in ‘Coda’
- G20 Summit Awkward Moments: Putin Yawns, Mystery Bubbles Appear, F18 Drama Ensues
Join the Conversation
- Air Canada Expands Vancouver Boeing 787 Dreamliners To Beijing, Seoul, Shanghai, Tokyo-Narita Routes
- Canada Consumer Alert: Tim Hortons Prices Of Coffee, Sandwiches To Go Up Effective Nov 26
- Doomsday Seed Vault Safeguards More Marijuana Seeds
- Travel Alert: Malaysia’s AirAsia Cuts Number Of Australian Flights
- Product Recall: Graco Recalls Baby Strollers in Canada, U.S. Due To Amputation Risks
- Walmart Early Price Matching Special Event On Nov. 21, 2014 Matches Its Competitors' Black Friday 2014 Prices And Includes Exclusive Deals For Samsung LED HDTVs And iPad Air 2 [WATCH VIDEO]
- US Plane Flying Over Russian Skies Spotted; Vladimir Putin Ready For 'Practical Cooperation' With US
- Alleged 'Microsoft Lumia 1030' Front Panel Leaked With Capacitive Buttons; 'Xbox One' Owners To Get Free Goodies On Anniversary
- Nexus 6 Release Date And Price Under AT&T, T-Mobile And Sprint Listed
- Walmart Pre-Black Friday 2014 Sale On Nov. 21, 2014 Includes Discounts On The 'NBA 2K15' For PS4 And The 'Skylanders Trap Team’ Starter Kit [WATCH VIDEO]
- Black Friday 2014 Sale: Top Deals On Game Consoles Xbox One, PS4, Nintendo Wii U And More
- Cold War 2: Russia, China And North Korea’s Blacklisted Company Fortify Alliance -- Reports