Holden will stop building vehicles in Australia by the end of 2017, but General Motors will not kill the brand.
When asked if parent GM will kill the brand like they did with Pontiac and Hummer, Mr. George Svigos Executive Director – Corporate Affairs at Holden said “We will continue to sell Holden vehicles in Australia”.
On March 2009 Hoden had 6,336 employees. More than 3,000 Holden workers are set to lose their jobs – 1300 at its Victoria plant and 1600 at Elizabeth, but overall the risk is much larger. By the end of 2017, the entire automotive sector is set to lose about 50,000 jobs and Toyota, the only automaker that continues to build vehicles in Australia warned that all the options are on the table.
“It’s now highly likely that Toyota will leave Australia. In fact it’s almost certain,” Dave Smith from the Australian Manufacturing Workers Union (AMWU) said.
GM said the main problem was the Australian dollar, a currency that has risen from US$0.50 to as high as US$1.10.
Holden (GM Holden Ltd) was founded in 1856 as a saddlery manufacturer. 52 years later, in 1908 the company is entering the automotive industry and becomes a subsidiary of GM in 1931. At this moment Holden has 310 authorized stores and 12 service centers which employ more than 13,500 people.
In 2007 Holden sold 146,680 vehicles.