Almost 200 jobs lost as Coca Cola closes South Australia plant

MICHAEL OWEN
February 22, 2017
The Australian

Almost 200 jobs will be lost at Coca-Cola’s manufacturing plant in South Australia, a day after Premier Jay Weatherill recommitted the state to a 50 per cent renewable energy target claiming it was good for jobs and business.

Coca-Cola Amatil this morning announced that due to a restructure of its Australian operations, there would be increased production in Queensland and Western Australia, resulting in the closure of the company’s manufacturing operations in South Australia in 2019.

Coke’s managing director Alison Watkins said the company needed to “maintain our competitiveness”.

Casual workers have already been sent home and around 180 jobs will go.

Major companies in South Australia have been warning of the impact on investment and jobs in the state since power prices skyrocketed and supply was disrupted following the closure of the state’s last coal-fired power station last May, caused by the Weatherill government’s pursuit of renewable energy generation.

Coke will invest $90 million in Queensland as part of its strategic review,

“This isn’t a decision we have taken lightly, but we know it will be important for ensuring our position in the market into the future,” Ms Watkins said.

South Australian Manufacturing Minister Kyam Maher said the government will work with unions to help affected workers.

Mr Maher said the closure was “exceptionally disappointing” but denied the government’s policies was driving down business investment. 

He said the company had not spoken to the state government about its plans.

Mr Maher insisted job were being created in South Australia, which has long had the nation’s highest unemployment rate. 

and said the impairment on SPC was due to continued pressure causing a loss for the business