POLL: Federal Industry Minister Ian Macfarlane has solutions to the Illawarra’s steel-industry woes in mind, but won’t announce any government measures during a visit to Wollongong on Monday.
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Instead, Mr Macfarlane says he will be all-ears as the region’s steel future is laid on the table during crisis talks between BlueScope Steel, workers, politicians, unions and other stakeholders at the University of Wollongong’s Innovation Campus from 10am.
‘‘We’re not coming down to say ‘this is what’s going to be done’, we’re coming down to listen to what needs to be done,’’ Mr Macfarlane told the Mercury.
‘‘The meeting is about getting a good cross-section of views and seeing what some of the solutions may be. There’ll be no announcements.’’
The news comes despite a continued push by the Australian Workers Union and South Coast Labour Council (SCLC) for greater government support to fight the Illawarra’s looming jobs crisis, particularly in the steel industry.
On August 24, BlueScope chief executive Paul O’Malley confirmed the company must find $200 million in annual cost savings or the Port Kembla steelworks could close.
Five-hundred jobs would be cut as part of the company’s preferred cost-saving plan. The other option on the table would see the steelworks mothballed and about 5000 direct and indirect jobs go.
Calls for emergency tariffs to protect the steel industry, strengthened anti-dumping measures and the implementation of a procurement policy mandating a minimum use of Australian-made steel are among the options outlined to date.
SCLC secretary Arthur Rorris said little had been heard from government so far, meaning those measures had gone somewhat begging.
‘‘There appears to be a stalemate on the part of government and the opposition on what they are prepared to do,’’ Mr Rorris said.
‘‘The unity we were after is not in capitulation to illegal steel dumping, the unity we demand is one that involves direct intervention at a critical time for this industry.’’
Mr Macfarlane stressed there was no point ‘‘just propping up an industry for a year or two and then having it collapse’’ and reiterated the need for a long-term solution.
‘‘There is going to be pain in this, we fully understand that, and the Commonwealth will do what we can to try and make that whole process as easy as possible,’’ he said.
‘‘There’s no sudden quick-fix, come down [here and] wave the wand [and] that’s all fixed ... this is a process could take months.
‘‘I do have things in mind but it would be speculative to run through those options because I don’t know which one’s going to fit down there [the Illawarra].’’
Mr Macfarlane also dismissed the union’s procurement policy push, describing it as a ‘‘false hope’’ because the federal government used very little steel in its projects and some of the product was so specialised it wasn’t made in Australia.
The government has implemented a program within its Anti-Dumping Commission to clear a backlog of cases, he said.
Illawarra federal Labor MPs claim the government has ruled out measures to help the region’s economy prior to Monday’s steel-industry discussions in Wollongong.
Cunningham MP Sharon Bird and Member for Throsby Stephen Jones say the Abbott government has rejected Labor plans to reinstate the region’s unemployment coordinator and implement advisers to help transition the economy.
The Local Employment Coordinator (LEC) role, which ended in June last year due to a lack of ongoing funding, was set up by Labor to help people access information about new job opportunities and training.
A recent announcement a similar position would be extended in Geelong prompted the Illawarra MPs to write to Employment Minister Eric Abetz and Industry Minister Ian Macfarlane last month.
“The rejection of the plans we put forward sends a strong signal to the Illawarra that the Abbott Government is asleep at the wheel when it comes to the future of the region,’’ Ms Bird said.
The then LEC played a critical role working with BlueScope, the union and workers last time the company went through a restructure, Ms Bird said.
Mr Jones said Mr Macfarlane’s visit was an opportunity to press the government for decisive action, but the rejection of Labor’s proposals was ‘‘not a good way to start a conversation with the region’’.
‘‘Right now, 9,500 people in the Illawarra are looking for work and that figure is set to grow. I’m sure many people will be looking to Minister Macfarlane tomorrow for answers,’’ he said.
Asked if the rejection comments were somewhat forward given Monday’s discussions were yet to take place, Mr Jones disagreed.
‘‘If we were to stand up today [Sunday] and bag the government for not having a plan that would be premature,’’ he said.
‘‘Equally, it’s premature for the government to dismiss two of the important ideas that have been shown to work in the past before we even turn up, we thinks that’s wrong.’’
Meanwhile, the Opposition spokesman for Industry, Senator Kim Carr, joined Ms Bird and Mr Jones’s chorus by calling on Mr Macfarlane to use Monday’s roundtable meeting to develop a plan to keep steelmaking jobs in the region.
‘‘Hollow statements and weasel words will not be satisfactory for the 5000 BlueScope steel workers whose jobs are on the line,’’ the trio said in a statement.