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550 workers to lose jobs at Palmer refinery

Thursday, 10 Mar 2016 12:21:33

Mr Palmer took control of the refinery by setting up a new company. (AAP: Dave Hunt)

More than 500 workers at Clive Palmer's Townsville nickel refinery have been told they will be out of a job after the close of business tomorrow.

Administrator FTI Consulting said it had no choice but to sack the workers after it was removed as the manager of the refinery earlier this week.

A new Clive Palmer-owned company, Queensland Nickel Sales, is now running the plant but has yet to offer the workers employment.

FTI Consulting said Queensland Nickel Sales may offer current employees of Queensland Nickel jobs.

"The administrators have impressed on Queensland Nickel Sales Pty Ltd the urgency of the situation and the need to quickly resolve the ongoing employment of staff," it said in a statement.

"At this time the administrators are uncertain as to the status of future employment offers by Queensland Nickel Sales Pty Ltd.

"The terminations of employment and uncertainty regarding the new offers is a deeply regrettable situation, although unavoidable, given the administrators no longer have operational control of the refinery."

Union concerned workers won't get entitlements

The Australian Manufacturing Workers Union (AWMU) held a meeting with 100 staff at the refinery this morning.

An AMWU spokesman said workers had been given no information.

Australian Workers Union (AWU) spokesman Cowboy Stockham said workers were "absolutely devastated" by the news.

"I don't think they're surprised because we saw this happen on January 15 — people have totally lost faith in Mr Palmer and the management teams there," he said.

"I think that those people that were fortunate enough to keep their jobs were just waiting for this time because it's going to happen."

Mr Stockham said that, as it stood, he believed the 550 staff would not be receiving their entitlements from QNI.

"They're not employed by anyone else except Queensland Nickel Pty Ltd — Queensland Nickel Pty Ltd don't have any money," he said.

"They're the ones that the 137 creditors are trying to get their entitlement out of and they haven't got any money.

"So if they haven't got any money for those 137, they certainly haven't got any money for the other 550."

Environmental licence needed to run refinery

Mr Palmer took control of the refinery from administrators by setting up the new company, a joint venture between two of Mr Palmer's other businesses, earlier this week.

It is understood Queensland Nickel Sales was waiting on the State Government to issue the environmental licence, which was believed to be requested earlier this week.

However, the State Government said the company could operate while the licence approval process was underway.

The refinery is largest private employer in the Townsville region.

AustraliaPlus


 

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