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Newcastle Herald
Newcastle Herald
Business
Matthew Kelly

'Where are the new jobs?': union boss says get fair dinkum about the Hunter's economy

Two of the Hunter's most powerful unions have warned the state government not to play politics with the future of Tomago Aluminium.

They have also slammed the lack of progress on the creation of jobs as the region moves into an unprecedented period of industrial change.

It follows the recent loss of more than 20 manufacturing jobs at UGL's Broadmeadow plant and the expected loss of a further 11 jobs at Molycop's Waratah plant.

Senior representatives of the Australian Manufacturing Workers Union (AMWU) and the Electrical Trades Union, along with a group of workers, voiced their concerns with Hunter MPs and government ministers in Sydney on Wednesday evening.

AMWU NSW secretary Brad Pidgeon called for an end to the public feud between state and federal governments over the breakdown of the funding package to support the continuing operation of Tomago Aluminium.

"There is real anxiety about this among the workers who are watching this issue get kicked around like a political football," he said.

"Keep the factional infighting in-house. Don't use the word Tomago as part of a political argument around GST, or whether NSW pays too much tax.

'Where are the new jobs?': union boss says get fair dinkum about the Hunter's economy

"Workers don't need to read that when the question they want answered is whether they've got a future or not."

The state government recently confirmed it had allocated funding in next month's budget to support the plant. However, it insists it is still waiting for the federal government to advise it how much it will need to contribute in the long term.

"The Commonwealth made a clear and unconditional commitment to Tomago and its workers," a state government spokesman said on Thursday.

"That commitment was made publicly, and we expect it will be honoured."NSW will play its part and deliver on its commitments, while also ensuring value for taxpayers."

The Newcastle Herald understands the federal government will provide the state with details it is seeking in coming weeks.

The unions also took aim at what they have described as a fundamental misalignment of state and federal government industry policies.

In particular, Mr Pidgeon pointed to the lack of tangible evidence that new jobs were being created in regions such as the Hunter.

"We have just seen the stacks at Liddell come down. There is no doubt the future is coming towards us at a rate of knots, but where are the future jobs and the investment signals for businesses thinking about coming to the Hunter," he said.

"The federal government likes to talk about supporting domestic manufacturing and that they want to support renewable energy, yet we are seeing wind turbines being imported into Newcastle from overseas for the state government's renewable energy projects."

The state government will introduce legislation this week to prioritise local workers and businesses for government tenders, under the Local Jobs First Commission.

Minister for Domestic Manufacturing and Government Procurement Courtney Houssos described the legislation as the most significant reform to NSW government procurement in a generation.

"This bill delivers on an important election commitment, putting local businesses, local workers and local communities at the centre of how government spends its valuable procurement dollars," she said.

Courtney Houssos

"We are backing local industry, supporting small businesses, strengthening local supply chains and building workforce capability.

"This is a significant reform, made even more important in a time of global economic uncertainty."

Mr Pidgeon described the package as a "good starting point".

"This is an important first step to ensure that public spending goes towards the creation of good, safe and local jobs," he said.

"We will continue to advocate to ensure that it gets where it needs to be."

Mr Pidgeon renewed his call for a job creation summit involving governments, unions and business groups to address the unfolding crisis.

Australian Bureau of Statistics figures show 2200 agricultural jobs, 2400 mining jobs, 3160 manufacturing jobs and 1000 jobs in the electricity, gas, water and waste services industry have been lost throughout the Hunter this decade.

"Governments make a lot of big statements. Don't get me wrong, they sound good compared to where we have been previously. But workers and their communities need to feel and touch it [jobs], not just read and hear about," Mr Pidgeon said.

Molycop Waratah is consulting about 11 redundancies. Picture Peter Lorimer.

Mr Pidgeon's comments echo those of Muswellbrook mayor Jeff Drayton who accused governments of failing to prepare for the unprecedented changes facing the region.

An estimated 12,000 direct and indirect jobs will be lost from the Muswellbrook shire by 2030.

The figure represents the single largest loss of jobs in the history of NSW.

A NSW government spokeswoman previously said the government was open to working with Hunter communities to create long-term, secure jobs.

"If there are opportunities for unions, industry, councils and government to come together and get the best outcome for Hunter workers, we're absolutely up for that conversation."

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