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Harley-Davidson Does Not Shut Down Adelaide Plant, Receives Controversial Government Help

New Castalloy workers Martin Parker, Edward Fern and managing director Michael Tamasi celebrate the company's four-year Harley-Davidson extension 1 photo
Photo: Dylan Coker
Good news for the 110+ workers on Harley-Davidson's New Castalloy manufacturing plant in Adelaide, Australia: the plant will not shut down, as foretold back in 2011.
After shedding about 90 of the 212 workers, H-D also got a rent waive from the South Australia Government, the owner of the Mooringe Ave plant. Such a move was regarded as highly unfair by some of the readers of Austalia's Adelaide Now, as they said that the government help was provided in suspicious conditions, given little or no similar boons came for similar-sized 100% local business.

The workers in Harley-Davidson's plant agreed to sign a 4-year Enterprise Agreement, "preserving all conditions, including improved redundancy and shift penalty entitlements and guaranteed annual wage rises of 3.25 per cent," as Australian Workers' Union SA branch president Peter Lamps declared.

H-D saved New Castalloy in 2006 after their former supplier Ion went into receivership, and had an initial deal to continue operations until November 2011, according to the same Australian press outlet. Before restructuring, new Castalloy used to manufacture around 1450 wheels and 500 wheel hubs per day for Harley-Davidson.
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