Pacific Brands: "I didn't see it coming"

[Rik E Boy]

"I didn't see it coming.", the words of a 15 year employee of Pacific Brands (King Gee, Yakka, Bonds and many others) who has suddenly found herself unemployed becuase the company can pay Chinese workers peanuts to make the same product.

Despite the fact that this company is making money they are 'downsizing' and going off shore. With the financial crisis providing the smokescreen, 1850 workers got the chop. For anyone else who currently is working in manufacturing TRAIN UP NOW. This shit has been going on for the last two decades, there is no future in manufacturing in this country. I got out in 1996 and you should consider doing the same.

"I didn't see it coming"? You are going to get screwed, that's what's coming so TRAIN UP.

regards,

REB

[whatcha got there?]

"I didn't see it coming.", the words of a 15 year employee of Pacific Brands (King Gee, Yakka, Bonds and many others) who has suddenly found herself unemployed becuase the company can pay Chinese workers peanuts to make the same product.

Despite the fact that this company is making money they are 'downsizing' and going off shore. With the financial crisis providing the smokescreen, 1850 workers got the chop. For anyone else who currently is working in manufacturing TRAIN UP NOW. This s***t has been going on for the last two decades, there is no future in manufacturing in this country. I got out in 1996 and you should consider doing the same.

"I didn't see it coming"? You are going to get screwed, that's what's coming so TRAIN UP.

regards,

REB

i thought bonds was purely an australian company? pfft...that changes my ideas on them.

[aceman]

"I didn't see it coming.", the words of a 15 year employee of Pacific Brands (King Gee, Yakka, Bonds and many others) who has suddenly found herself unemployed becuase the company can pay Chinese workers peanuts to make the same product.

Despite the fact that this company is making money they are 'downsizing' and going off shore. With the financial crisis providing the smokescreen, 1850 workers got the chop. For anyone else who currently is working in manufacturing TRAIN UP NOW. This s***t has been going on for the last two decades, there is no future in manufacturing in this country. I got out in 1996 and you should consider doing the same.

"I didn't see it coming"? You are going to get screwed, that's what's coming so TRAIN UP.

regards,

REB

i thought bonds was purely an australian company? pfft...that changes my ideas on them.

Until 6 months ago I worked with a wanker who would not believe when told that both Yakka & King Gee along with many others were owned by the same company, he would argue till he went blue in the face so in the end I gave up.
Wish I could find the silly pr^ck again, I'd ask him what he thinks now about who owns who?

[whatcha got there?]

"I didn't see it coming.", the words of a 15 year employee of Pacific Brands (King Gee, Yakka, Bonds and many others) who has suddenly found herself unemployed becuase the company can pay Chinese workers peanuts to make the same product.

Despite the fact that this company is making money they are 'downsizing' and going off shore. With the financial crisis providing the smokescreen, 1850 workers got the chop. For anyone else who currently is working in manufacturing TRAIN UP NOW. This s***t has been going on for the last two decades, there is no future in manufacturing in this country. I got out in 1996 and you should consider doing the same.

"I didn't see it coming"? You are going to get screwed, that's what's coming so TRAIN UP.

regards,

REB

i thought bonds was purely an australian company? pfft...that changes my ideas on them.

Until 6 months ago I worked with a wanker who would not believe when told that both Yakka & King Gee along with many others were owned by the same company, he would argue till he went blue in the face so in the end I gave up.
Wish I could find the silly pr^ck again, I'd ask him what he thinks now about who owns who?

Haha i never understand why people argue a point that they have no idea one. i just assumed bonds was australian based, but if someone told me it wasnt, i wouldnt have argued.

i hate people like that, you just want to tell them to get their f**king facts straight.

[Psyber]

The lowering of our tariff barriers, which began in the mid-1980s and has continued under all governments since, has inevitably led to manufacturing anything in Australia becoming less and less viable. It can all be made in China and shipped here so much more cheaply. Free trade is sacrosanct political correctness, and we are told it is in the long run best for the economy, but I've never been entirely convinced there is anything wrong with negotiated regional free trade rather than "open go". After all there are some people in this country who cannot be retrained to be IT professionals [or whatever] and they do need jobs.

Unfortunately, we have now become used to such cheap manufactured goods there would be riots if tariffs were used to push prices of imported goods up the the point that Australian made goods could be marketed competitively. The "Global Economy" is a fait accompli. As a result recessions are no longer local either.

As for Pacific Brands and predictability.
The underwear I used to buy was phased out two years ago, and replaced under the same name with a different style made in China, but at the same price, and it didn't fit as well. For about 18 months, the other lines of the same brand have been coming in multipacks of several colours, and you can't buy individual colours - presumably they arrived here already packed like this when they leave China. Size in the same nominal size has been varying widely too consistent with Chinese quality control standards...

"Blind Freddy" should have been able to see it coming!

[Sojourner]

Why doesnt Kevin Rudd nationalise the company and keep the jobs in Australia?

[JAS]

It's happening everywhere...every day we have a company going under or downsizing or transferring overseas...unfortunately that's what happens in a recession/credit crunch.

Things will improve again eventually they always have in the past...I reckon it's happened every generation...let the good times roll, rake in the $$$$, then suffer the consequences and start the slow climb back up again.

Regards
JAS

[Dog_ger]

"Breaking News"

Pacific Brands Bosses Lined their pokets with LARGE payouts a year back....

[Psyber]

Why doesnt Kevin Rudd nationalise the company and keep the jobs in Australia?

Because nobody would buy the expensive products when they can get Chinese ones cheaper at K-mart or Target etc.
Or do you think the government should run it at a loss?

[mick]

Why doesnt Kevin Rudd nationalise the company and keep the jobs in Australia?

Because nobody would buy the expensive products when they can get Chinese ones cheaper at K-mart or Target etc.
Or do you think the government should run it at a loss?

I think it is ironic that many private banks in the USA and UK have been effectively nationalised. I think the UK taxpayer now owns 95% of the Royal Bank of Scotland which has now posted the largest loss in UK Corporate history. I think nationalisation of failing businesses is the absolute last resort of any government. I think the first poster (REB) said Pacific was making money, they in fact posted a 6 month loss of $150,000,000. Their problem is that Pacific are saddled with debt, debt laden companies and their employees will face a very uncertain future in the foreseeable future as will debt laden households.

PS I do not think it is right under the current circumstances that the directors and executives of this company voted themselves payrises. The problem with private enterprise in the recent past and today, failure is almost rewarded equally as success, hopefully this will change.

[mypaddock]

I'm sure if we really wanted to be, this country could be totally self sufficient due to our comparitively small population, but unfortunately most companies are too greedy and are happy to go offshore to increase their profits.

IMO a mindset/culture change is needed from the grassroots level e.g. high school and to flow through to university etc teaching that business shouldnt just be about growth, growth, growth! Of course you need to be making a profit, but what person/ company needs to be making million/billion dollar profits in exchange for ppl losing their jobs. That is the core problem with how businesses are run these days.

[mick]

I'm sure if we really wanted to be, this country could be totally self sufficient due to our comparitively small population, but unfortunately most companies are too greedy and are happy to go offshore to increase their profits.

IMO a mindset/culture change is needed from the grassroots level e.g. high school and to flow through to university etc teaching that business shouldnt just be about growth, growth, growth! Of course you need to be making a profit, but what person/ company needs to be making million/billion dollar profits in exchange for ppl losing their jobs. That is the core problem with how businesses are run these days.

With regard to your first comment I think this is true, but I don't think the population would accept the lower standard of living and higher prices. Two semi-self sufficient countries spring to mind Cuba and North Korea. Cuba at least has nice weather.

[Rik E Boy]

I think the first poster (REB) said Pacific was making money, they in fact posted a 6 month loss of $150,000,000. Their problem is that Pacific are saddled with debt, debt laden companies and their employees will face a very uncertain future in the foreseeable future as will debt laden households.

Cheers Mick. I was not aware of this. And yes Psyber they all need jobs but regardless of which way you intend to go you do actually need to upskill to make yourself employable. In 1996 all I could do was "push a button". Not much point doing that for 13 years or when that shop shuts I'm middle aged and unemployable.

regards,

REB

[Zelezny Chucks]

How can a CEO accept a $1 Million payrise one year and then say the company isn't viable to remain in Australia the next.

I can't wait to see what Sol Trujillo gets as severance from Telstra!

[Booney]

I think the first poster (REB) said Pacific was making money, they in fact posted a 6 month loss of $150,000,000. Their problem is that Pacific are saddled with debt, debt laden companies and their employees will face a very uncertain future in the foreseeable future as will debt laden households.

Cheers Mick. I was not aware of this. And yes Psyber they all need jobs but regardless of which way you intend to go you do actually need to upskill to make yourself employable. In 1996 all I could do was "push a button". Not much point doing that for 13 years or when that shop shuts I'm middle aged and unemployable.

regards,

REB

Now the button is on a mouse not a pneumatically powered press...

[Sojourner]

Because nobody would buy the expensive products when they can get Chinese ones cheaper at K-mart or Target etc. Or do you think the government should run it at a loss?

My thoughts would be that the company clearly has millions of dollars to pay their executives bonues etc, so having a situation where the company is not required to maximise its profits to shareholders, it can return perhaps a smaller profit to the government and retain the jobs in Australia. At the same time the firm could be engaged to supply its various brands of clothing to government departments and the mattresses to hospitals etc.

[Rik E Boy]

I think the first poster (REB) said Pacific was making money, they in fact posted a 6 month loss of $150,000,000. Their problem is that Pacific are saddled with debt, debt laden companies and their employees will face a very uncertain future in the foreseeable future as will debt laden households.

Cheers Mick. I was not aware of this. And yes Psyber they all need jobs but regardless of which way you intend to go you do actually need to upskill to make yourself employable. In 1996 all I could do was "push a button". Not much point doing that for 13 years or when that shop shuts I'm middle aged and unemployable.

regards,

REB

Now the button is on a mouse not a pneumatically powered press...

Yep, I can right click now. Took me ten years to learn that though.

regards,

REB

[Dog_ger]

Appears a bit of Shonky with this bad debt....

Kochi from channel 7 sunrise says they restructured their debt to make it look bad.

Undervalued their assets incredably.

They have actually made a profit of $50,000,000.

and taken $7,000,000 in Government handouts over the last 2 years to buy new machinery.

Now they are trying to take same machinery off shore....

[Psyber]

...PS I do not think it is right under the current circumstances that the directors and executives of this company voted themselves payrises. The problem with private enterprise in the recent past and today, failure is almost rewarded equally as success, hopefully this will change.

I found myself tending to agree with Bill Shorten, who was on TV last night suggesting executive salaries should be limited to 10 or 15 times the base rate of the workers. I really don't think these guys are so good that they would all get very highly paid jobs overseas if they couldn't get the money here, or that people like Sol Trujillo are worth the money it costs to import them.

I'm not a share-holder of Pacific, but I am of Telstra, but the executives of the corporate investing organisations that own the majority of the shareholdings support high executive salaries to justify their own pay claims and non-corporate share-holders get out-voted, so only legislation will stop it. These guys sack people in the name of profits for the share-holders and rob the share-holders to jack up their own salaries.

[JAS]

"Breaking News"

Pacific Brands Bosses Lined their pokets with LARGE payouts a year back....

You think that's bad?...have a look at what's going on with the former boss of Royal Bank of Scotland now they've announced the biggest annual loss in UK corporate history...

For those who don't want to read it all...the banks loss was £24.1 billion and he's getting £693,000 a year as a pension and the government is trying to tell him to give it back...oh yeh and he said 'NO'

http://news.bbc.co.uk/1/hi/uk_politics/7912651.stm

http://news.bbc.co.uk/1/hi/business/7911722.stm

Regards
JAS