Unions warn thousands of jobs at risk if submarines are built in Japan
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Version 0 of 1. Manufacturers and unions want the federal government to end speculation over whether the navy’s new submarines will be built in Adelaide or Japan. The government appears to be backtracking from its election promise to construct the vessels in South Australia. There are also reports Japanese Soryu-class submarines constructed in Japan will replace the navy’s six Collins submarines which retire in the 2030s. The Australian Industry Group chief executive, Innes Willox, said local supply chain companies had made investment decisions on expectations the submarines would be built in Adelaide and needed clarity. “Companies have acted in good faith here and there’s been a long held belief and signals from governments of both sides that submarines would be built in Australia,” he told ABC Radio on Tuesday. “Industry would be looking for guidance as soon as possible.” Australian Manufacturing Workers Union national president Paul Bastian said building the submarines in Japan would cause a ripple effect for industry. “I think there will be thousands of jobs in the shipbuilding sector that will be put at risk,” he told ABC Radio. A final decision will be announced in the upcoming Defence White Paper to be released by next June. But the government may spell out its basic approach before the end of the year. |